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Date : 16th June 2022.
Market Update – June 16 – Its all about the Banks.
https://analysis.hfm.com/wp-content/...019/09/BOE.jpg
Trading Leveraged Products is risky
FOMC hiked rates 75 bps, 10-1 vote; further increases likely appropriate. USD supported (USDIndex 104.80), Stocks higher despite Fed (NASDAQ +2.5%, Dow 1.4% & S&P +2%). Despite the Fed effecting the biggest increase in interest rates in 28 years, bonds and stocks rallied hard, underpinned by the fact Chair Powell said the 75 bps was an unusual move and would not be a common action, noting further hikes would be 50 bps or 75 bps. After hitting multi-month lows earlier this week, most regional currencies firmed on Thursday after US Bond Yields and the USD retreated from multi-year highs a day earlier as investors welcomed the Fed’s decision. It is clear that the Fed’s move will keep stagflation concerns alive. Asian markets traded mixed and US futures have pared earlier gains.
“Against a backdrop of sky-high inflation, rising rates, and growing recession concerns, the S&P 500 has had its worst start to the year since 1962,” noted analysts at Goldman Sachs.
* USDIndex held above 104.40.
* Υields 10-year Treasury yield climbed 1.5 bp to 3.3% while Australia’s bonds also moved up.
* Equities – GER40 and UK100 futures are mixed with the UK100 down -0.2% ahead of the BoE decision, the GER40 up 0.3%.
* Oil settled to 115.76 after a steep drop, supported by tight oil supply (100k b/d highest since April 2020) and peak summer consumption, after the Fed sparked fears of slower economic growth and less fuel demand.
* Golds at $1830 – safe-haven demand & inflationary hedge buying VS a higher interest rate.
* Bitcoin down to $20,157.
* FX markets – EURUSD at 1.0409, USDJPY back above 134, Cable down at 1.2100 ahead of BoE.
BoE Preview: The BoE is still set to deliver another 25 bps rate hike this week, but stagflation risks are looking nowhere as serious as in the UK That should prevent the central bank from joining the “50 bp club” of central banks, but for now is unlikely to stop the BoE from sticking to the tightening path. The statement may sound somewhat more cautious now. Even the BoE’s own scenario suggests a technical recession next year and the latest batch of forecasts from the OECD and others highlight that the economy is under-performing, with the fallout from Brexit, the sanctions against Russia, and political turmoil all weighing on the growth outlook. PM Johnson managed to survive a confidence vote last week, but many feel that his days are numbered. Even within his own party the threat to unilaterally step back from the Northern Ireland protocol is not very popular and rather than uniting the nation behind Brexit, the government is facing an increasingly fragmented union. Nevertheless, with inflation running far above target, the BoE has little choice but to lift rates further for now, especially as house price inflation is also still running at double digits, and wage growth is picking up in tight markets.
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Biggest FX Mover @ (06:30 GMT) GBPUSD (-0.84%) down to 1.20 area again. Intraday, MAs bearishly crossed, MACD histogram declines but holds above 0, RSI 40 & sloping. H1 ATR at 0.00377 & Daily ATR at 0.01434.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HotForex Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Andria Pichidi
Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 17th June 2022.
Market Update – June 17 – Deeply underwater.
https://analysis.hfm.com/wp-content/...flation-01.jpg
Trading Leveraged Products is risky
USD drifted (USDIndex 103.15) thanks to the hawkish SNB and BoE, and the potential for a shift from the BoJ. However, the BoJ eventually left policy on hold & maintained its ultra-low rate settings today, despite looking increasingly like the odd one out. Yen sinks. Stocks were crushed, hit by the surge in yields (NASDAQ -4.4%, Dow -2.4% & S&P -3.25%). Weakness in tech also weighed on USA100. VIX rose to an intraday high of 34.43, but dipped to 33.44 late in the day, versus Wednesday’s 29.62. Treasuries are rallying and yields are now richer (2-year declined to 3.10%, 10-year at 3.25%. They were as high as 3.39% and 3.49% on the day). European leaders back Ukraine’s bid to apply for EU membership.
*US mortgage rate surged 55 bps to 5.78%, the biggest weekly jump since 1987.
*US housing starts plunged -14.4% to 1.549 mln in May, permits fell to 1.695 mln.
*US Philly Fed index dropped to -3.3 in June, 6-month outlook fell to -6.8.
*US initial jobless claims slid -3k to 229k in June 11 week.
* USDIndex rebounded to 104.25 from 103.15.
* Υields 10-year climbed 5.5 bp to 3.25%.
* Equities – Nikkei and ASX lost -1.8% today. Elon Musk hints at layoffs in first meeting with Twitter employees.
* Oil settled at 117.50 – Oil set for weekly loss as traders weigh monetary tightening, although persisting supply tightness and new sanctions on Iran limited the downside.
* Gold retested $1856, currently lower at $1845. Platinum and palladium also set for weekly drops.
* Bitcoin steadily lower at $20k area.
Interest rate differentials between Japan and the US will continue to widen, which will keep pressure on the Yen, which at the start of the week was at the lowest level since 1998.
* FX markets – EURUSD at 1.0505, USDJPY back above 134.67, Cable at 1.2257 from 1.2405 highs.
Today: BoE Pill & Tenreyro speeches, EU HICP & Fed Chair Powell speech.
https://analysis.hfm.com/wp-content/...7_09-53-50.jpg
Biggest FX Mover @ (06:30 GMT) CHFJPY (+1.54%) breaks 2013 peak. Intraday, MAs aligned higher, MACD lines extending northwards, RSI 76 & rising. ATR(H1) 0.0524 & ATR(D) at 1.506.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HotForex Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Andria Pichidi
Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 21st June 2022.
Market Update – Stocks & Yields Lift for Summer Solstice.
https://analysis.hfm.com/wp-content/...ic_nov18-1.jpg
Trading Leveraged Products is risky
USD holds at highs (USDIndex 104.16), Stocks closed higher in Europe (DAX +1.01%, FTSE100 +1.50%) & Asian shares opened over 1% higher and closed positively (Nikkei +2.09%) US Futures +1.15%. Yields rallied (US 10yr 3.2976%). Oil ticks 2% higher, lifting CAD pairs, after Fridays sell-off and Gold & BTC slide sideways. Yellen talks of a “price cap” and “tax” for Russian oil exports and a tax “holiday” for gasoline in US to ease inflation. (Ruble @ 15 mth high). Japan PM Kishida & FM Suzuki: Rapid yen weakening is a source of concern. RBA’s Lowe rates need to go higher in low unemployment high inflation Australia.
Week Ahead – Will be dominated by Central Bank Speak topped by FED Chair Powell’s 2-day testimony to Congress. CPI & PMI data also due this week.
*USDIndex tested 104.00 on Monday and holds at 104.15 today.
*Equities – USA500 closed yesterday (Friday 3674), US500FUTS at 3725 now.
*Yields 10-year yield higher , trades at 3.29% now.
*Oil & Gold had mixed sessions – USOil recovered over 2% to trade at $110.20. Gold could not hold $1840 and trades at $1835 now.
*Bitcoin pivots off $20K, to test $21K now.
*FX markets – EURUSD holds at 1.0525, USDJPY holds over 135.00 zone shy of 24-yr high 135.50 and Cable trades up 20 pips to 1.2260.
Overnight - BoE Pill & Tenreyro speeches, EU HICP & Fed Chair Powell speech.
Today - Canadian Retail Sales, US Existing Home Sales, New Zealand Trade Balance, Speeches from ECB’s Rehn, Fed’s Barkin & Mester.
https://analysis.hfm.com/wp-content/...1_09-52-08.png
Biggest FX Mover @ (06:30 GMT) CADJPY (+0.30%). Continues to move higher from 101.65 test on Thursday to 104.50, as Oil recovers from sell-off. Next key resistance 104.75 & 105.00. MAs aligning higher, MACD histogram positive & turning higher, RSI 71 ,OB but still rising, H1 ATR 0.139, Daily ATR 1.343.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 22nd June 2022.
Market Update – June 22 – Stocks rally, USD & Yields hold, Oil & Yen sink.
https://analysis.hfm.com/wp-content/...ket-update.png
Trading Leveraged Products is risky
USD holds at highs (USDIndex 104.51), Stocks closed up over 2% (NASDAQ +2.51%) – (1) dead cat bounce & another bear market rally or (2) signs of peak inflation and peak Fed bearishness ? (Technicals & Fundamentals still say 1). Asian shares closed lower on rapid spread of new Omicron (Hang Seng -1.49%) Yields rheld their gains. Oil also slumped (Brent -3.42%) Gold & BTC slide sideways. Biden expected to announce temp. tax reprieve on gasoline, BOJ Mins confirmed they will ease further if necessary “without hesitation” USDJPY hits new 24-year high. NZD hit by weak trade data.
https://analysis.hfm.com/wp-content/...2_09-00-38.png
*USDIndex tested 103.72 on Tuesday before rallying to 104.55 now.
*Equities – USA500 closed +2.45% (3764), US500FUTS slumped to 3719 now.
*Yields 10-year yield higher, closed at 3.26% , trades at 3.29% now.
*Oil & Gold had mixed sessions – USOil slumped 3% to trade at $104.90. Biden & Omicron news weighed & Gold could not hold $1830 and trades at $1825 now on higher Yields and stronger USD.
*Bitcoin continues to pivot around $20K, test $22K yesterday, back to $20K now.
*FX markets – EURUSD hback under 1.0500, USDJPY hit new 24-yr highs at 136.71 and Cable trades down to 1.2225 now, following Inflation news, from 1.2325 highs yesterday.
Overnight - UK CPI hits 9.1% inline but up from 9.0% last month, CORE a tick lighter at 5.9% vs 6.0% & 6.2%, PPI beat 2.1% vs 1.8% & 2.7% prior and RPI also hotter at 11.7% vs 11.4% & 11.1% last time. NZ Trade Balance less than 50% of forecast at . Reuters Poll Fed Path: 75bp July, 50bp Sept & Oct, and 25bp Nov. (at the earliest). Japanese official – FX moves against the Yen “not ideal”.
Today - Canadian CPI, EZ Consumer Confidence, Speeches from Fed’s Powell, Barkin, Evans & Harker, SNB’s Jordan ECB’s de Guindos & Elderson, BoC’s Rogers.
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Biggest FX Mover @ (06:30 GMT) NZDUSD (-1.18%). Collapsed from test of 0.6360 on Monday & Tuesday to 0.6250, as NZD Trade Balance missed significantly. MAs aligning lower, MACD histogram negative turning lower, RSI 21.25, OS but still falling, H1 ATR 0.00124, Daily ATR 0.00850.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 23rd June 2022.
Market Update – June 23 – USD & Yields slip, Oil down post Powell.
https://analysis.hfm.com/wp-content/...ic_nov18-1.jpg
Trading Leveraged Products is risky
USD slips from highs (USDIndex 103.80), Stocks closed flat (NASDAQ & DJIA -0.15%) Yields tanked (-4%) after Powell said FED were “strongly committed” to the inflation fight and that recession was “certainly possible”. Asian shares mixed (Hang Seng +1.64%, Nikkei +0.8%, Kospi -0.7%) Oil slumped another -2% and Gold & BTC slide sideways. Biden announced tax reprieve on gasoline, but is under increasing political pressure, Johnson faces two more by-election defeats today & national rail strikes on-going, (6th Anniversary of Brexit vote) and Scholz fears gas line shutdown and unable to speak with Putin. USDJPY cooled from new 24-year high as JPY outperformed in Asian session.
*USDIndex tested 103.60 yesterday before recovering to 104.00 now.
*Equities – USA500 closed -4.9 (3759), US500FUTS lower at 3756 now.
*Yields 10-year yield higher, closed down -479% at 3.156% , trades at 3.18% now.
*Oil & Gold had mixed sessions – USOil slumped 2.2% to trade under $102 yesterday following Biden & Powell, back to $104.80 now. Gold spiked to $1845 and trades at $1834 now on weaker Yields and USD.
*Bitcoin continues to pivot around $20K, trades at $20.5K now.
*FX markets – EURUSD tested 106.00 yesterday back to 1.0560, USDJPY cooled from 136.71 yesterday to test 135.00 earlier & back to 135.83 now. Cable trades down to 1.2230 now from rally to 1.2330 yesterday.
Overnight - Japanese Manu PMI – miss (52.7 vs 53.5) UK Public sector borrowing hit £14bn last month, the third-highest May since 1993, and worse than the expected £11.6bn.
Today - EZ, UK & US Flash PMIs, US Initial Claims, Policy Announcements from Norges Bank, CBRT & Banxico, US Bank Stress Test Results, Fed’s Chair Powell Speaks at the House Finance Committee.
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Biggest FX Mover @ (06:30 GMT) AUDJPY (-0.68%). JPY out performs today with safe haven bid. Rallied from 93.20 earlier to 93.70, next resistance the significant 94.00. MAs aligning higher, MACD histogram negative & still turning lower, RSI 42.45, and rising, H1 ATR 0.278, Daily ATR 1.49.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 24th June 2022.
Market Update – June 24 – USD & Yields slips, Stocks tick higher.
https://analysis.hfm.com/wp-content/...ket-update.png
Trading Leveraged Products is risky
USD slips from highs (USDIndex 104.00), Stocks closed higher (NASDAQ +1.62%) Yields slipped again (-1.66%) after no new news from Powell. Asian shares stronger (Hang Seng +2.24%, Nikkei +1.23%) Oil holds at lows, Gold dipped & BTC picked up. Ukraine gained EU candidacy status. UK PM Johnson’s Conservatives lost the two by-elections, triggering resignation of Party Chairman Dowden. European Futs +1.0%. USDJPY cooled further as NZD & AUD outperformed in Asian session.
* USDIndex tested 104.50 yesterday before slipping back to 104.00 now.
* Equities – USA500 closed +35 (3795), US500FUTS higher at 3824 now.
* Yields 10-year yield lower, closed down at 3.133% , trades at 3.018% now.
* Oil & Gold had mixed sessions – USOil rallied to $106.80 before slipping back to $104.50 now. Gold spiked to $1845 again but trades at $1822 now on weaker Yields and USD.
* Bitcoin continues to pivot around $20K, trades at $20.7k now from a test of 21k.
* FX Markets – EURUSD tested 1.0500 yesterday now back to 1.0536, USDJPY cooled again to 134.60 now. Cable trades at 1.2270 now, from lows at 1.2170 yesterday, despite by-election results and weak Retail Sales data, UK recession risks are stacking up.
Overnight - Japanese Core CPI inline & unchanged (2.1%) SPPI hotter (1.8%) UK Retail Sales a tick better than expected (-0.5% vs -0.6%) but down significantly from 1.4% last month.
Today - German Ifo, US New Home Sales, Speeches from Fed’s Bullard & Daly, ECB’s de Cos, BoE’s Pill.
https://analysis.hfm.com/wp-content/...4_09-56-18.png
Biggest FX Mover @ (06:30 GMT) NZDUSD (+0.49%). NZD out performed today. Rallied from 0.62500 test yesterday to 0.6300 now and a key resistance. MAs aligning higher, MACD histogram positive & rising, RSI 56.58 & rising, H1 ATR 0.00127, Daily ATR 0.00843.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 4th July 2022.
Market Update – July 4 – USD & Stocks hold gains, Yields slip.
https://analysis.hfm.com/wp-content/.../US-Update.png
Trading Leveraged Products is risky
USD holds around Fridays close (USDIndex 104.85), Stocks closed higher on Friday (S&P500 +1.06%) but FUTS have slipped and Yields are down again (-4.51%). Asian shares are mixed after Chinese developer Shimao defaults and Covid concerns rise again. (Hang Seng -0.30%, Nikkei +0.84%) Oil ticks higher, Gold tests $1815 & BTC tests $19k. European FUTS also mixed. Russia claims victory in “liberated” Luhansk region and accuses Ukraine of shelling Belgorod. AUD outperforms in Asian session.
Week Ahead – Topped by NFP on Friday, FOMC Minutes on Wednesday and RBA rate decision tomorrow.
* USDIndex tested 105.36 Friday before slipping back to 104.85 now.
* Equities – USA500 closed +39 (3825), US500FUTS lower at 3810 now.
* Yields 10-year yield lower, closed down at 2.889% , trades at 2.880% now.
* Oil & Gold had mixed sessions – USOil has rallied to $108.70 now from $104.55 Friday. Gold spiked to $1815 earlier from a $1785 low on Friday.
* Bitcoin continues to trade under $20K, testing $19K today.
* FX Markets – EURUSD tested under 1.0400 Friday following record CPI (8.6%) now back to 1.0425, USDJPY cooled again to 134.75 on Friday back to 135. 40 now. Cable trades at 1.2110 now, from lows at 1.1975 Friday after weak PMIs.
Overnight - Australian Building Approvals jumped surprisingly to 9.9% vs -2.0%. German Trade Balance, missed significantly, turning negative at -1.0b vs. 4.2b, & Swiss CPI, hotter at 0.7%.
Today - EZ PPI, Speeches from ECB’s Elderson, Nagel & de Guindos, US Independence Day holiday.
https://analysis.hfm.com/wp-content/...4_09-47-18.jpg
Biggest FX Mover @ (06:30 GMT) AUDJPY (+0.60%). AUD out performed today. Rallied from 91.40 test on Friday to 92.64 now and a key resistance. MAs aligning higher, MACD histogram negative but rising, RSI 58.3 & rising, H1 ATR 0.251, Daily ATR 1.432.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 5th July 2022.
Market Update – July 5 – USD Hold Gains, RBA Acts, Stocks Steady.
https://analysis.hfm.com/wp-content/...ket-update.png
Trading Leveraged Products is risky
USD holds at highs (USDIndex 104.85), Stocks closed higher in Europe and hold gains in Asia with US FUTS higher too. Yields are flat but off recent lows. Asian markets buoyed by positive Yellen-Liu He meeting, prospect of Chinese & Australian Fin. Min. meeting this week and better PMI data from Japan & China, all despite action from the RBA. Covid concerns continue to weigh (Hang Seng +0.07%, Nikkei +1.04%) Oil ticks to $110, Gold holds over $1800 & BTC regains $20k. JPY underperforms in Asian. RBA raises rates in line with expectations by 50bp to 1.35%.
* USDIndex tested 105.00 Monday before slipping back to 104.85 now.
* Equities – USA500 closed +39 (3825), Friday US500FUTS higher at 3854 now.
* Yields 10-year yield lower, closed down Friday at 2.889% , trades at 2.880% now.
* Oil & Gold had mixed sessions – USOil rallied to $110.40 earlier from $108.00 Monday. Gold holds between resistance at $1815 and support at $1800, trading at $1808 now.
* Bitcoin continues to trade around $20K, testing $20.3K today.
* FX Markets – EURUSD remains pressured at 1.0430, USDJPY rallied to 136.30 earlier from under 135.00 Monday. Cable trades at 1.2110 now.
Overnight - China Services PMI’s better at 54.3 vs 47.3, Japanese Service PMI also improve at 54.0 vs 52 last time.
Today - EZ/UK Services and Composite Final PMIs, US Factory Orders, BoE Mins. & FSR, Speeches from BoE’s Bailey & Tenreyro.
https://analysis.hfm.com/wp-content/...5_09-57-09.jpg
Biggest FX Mover @ (06:30 GMT) EURJPY (+0.54%). JPY weaker today. Rallied from under 140.00 Thursday to 142.20 now, next resistance, 142.75 & 143.00. MAs aligning higher, MACD histogram positive & rising, RSI 66.00 & rising, H1 ATR 0.212, Daily ATR 1.402.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 6th July 2022.
Market Update – July 6 – Dollar Dominates on Global Recession Fears.
https://analysis.hfm.com/wp-content/...ket-update.png
Trading Leveraged Products is risky
USD moves to 20-year highs (USDIndex 106.34), US Stocks fell 2% on open but closed positively (NASDAQ +1.75%). Global PMI data overall in line. European markets fell 2%+ & Asian markets are negative (Hang Seng -2.38%, Nikkei -1.2%). Yields closed down -2.77%. Oil tanked -8.2% trading under $100, Gold closed under $1765 & BTC rotates at $20k. EUR fell to new 20-year lows with parity in sight. Heavy fighting in Donetsk adds to the sombre mood. UK PM lost two cabinet ministers adding to woes for Johnson and Sterling.
* USDIndex tested 106.55 and remains on Bid at 106.25 now.
* Equities – USA500 closed +6.0 (3831), after a weak day, US500FUTS at 3818 now.
* Yields 10-year yield lower, closed at 2.808% , trades at 2.802% now.
* Oil & Gold had weak sessions – USOil tanked under $100.00 to $97.30 lows, back at $100 now. Gold fell to 1762 earlier, 1768 now.
* Bitcoin continues to trade around $20K, testing $20.1K today.
* FX Markets – EURUSD remains pressured at 1.0260, USDJPY rallied from under 135.00 to 135.80 now. Cable trades at 1.1932 now.
Overnight - German Factory Orders better at 0.1% from -1.8%.
Today - EZ Retail Sales, US ISM Services PMI, FOMC Minutes, Speeches from Fed’s Williams & BoE’s Pill.
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Biggest FX Mover @ (06:30 GMT) CADJPY (-0.42%). CAD JPY weaker today. Fell from allied from under 106.00 Tuesday to 103.50 today before recovering. MAs aligning lower, MACD histogram neagtive but flat, RSI 41.00 & rising, H1 ATR 0.291, Daily ATR 1.378.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
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Date : 7th July 2022.
Market Update – July 7 – Fed focused on Inflation, USD bid, Stocks flat, Gold tumbles.
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Trading Leveraged Products is risky
USD moved down from new to 20-year highs at 107.00 but remains in demand (USDIndex 106.64), US Stocks flat on close (NASDAQ +0.35%). FED Minutes leaned to the hawkish side. – ‘more restrictive’ policy as likely if inflation fails to come down. Asian markets are mostly positive (Hang Seng -0.13%, Nikkei +1.4%). Yields closed up +3.3%. Oil fell another -1.0%, Gold plummeted again to $1735 & BTC rotates at $20k. UK PM Johnson has now lost over 50 members of his government but refuses to resign. AUD outperforms overnight.
Yesterday US ISM Service PMIs were better than expected but still at 25-mth low & JOLTS showed 11.25m job vacancies (1.9 jobs for every unemployed person).
* USDIndex tested 107.00 and remains on Bid at 106.65 now.
* Equities – USA500 closed +0.36% 13.69pts (3845), US500FUTS at 3854 now.
* Yields 10-year yield higher, closed at 2.92%, trades at 2.90% now. Yield curve inverted again yesterday.
* Oil & Gold had weak sessions – USOil traded down to $95.10 lows and remains under $100.00 at $98.48. Gold fell to 1732, next support at 1725, trades at 1745 now.
* Bitcoin continues to trade around $20K, testing $20.3K today.
* FX Markets – EURUSD remains pressured at 1.0200, USDJPY rallied from under 135.00 to test 136.00 now. Cable trades at 1.1950 now.
Overnight - German Industrial Output missed at 0.2% from 1.3%. Australian Trade Balance much better at 15.97b vs 10.7b & 13.25b prior.
Today - US ADP Employment & International Trade, ECB Minutes, EIA Oil Inventories, Speeches from Fed’s Waller & Bullard, ECB’s Lane & Enria, BoE’s Pill.
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Biggest FX Mover @ (06:30 GMT) AUDJPY (+0.42%). AUD lifted by trade data. Rallied form allied from 91.50 Wednesday to 92.70 today before cooling. MAs aligning higher, MACD histogram positive & rising, RSI 55.24 & rising, H1 ATR 0.227, Daily ATR 1.398.
Always trade with strict risk management. Your capital is the single most important aspect of your trading business.
Please note that times displayed based on local time zone and are from time of writing this report.
Click HERE to access the full HFM Economic calendar.
Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE!
Click HERE to READ more Market news.
Stuart Cowell
Head Market Analyst
HFMarkets
Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
