A slow turn in a host of benchmark assets this past week hit a flash point Friday with dramatic consequences. The US indices have triggered head-and-shoulders reversal patterns, oil dove beyond midpoint of its December to April rally and the usual safe haven Dollar checked lower. What do the charts say are in store next week?
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Sunday, 2 June 2019
Weekly Trading Forecast: How Will Risk Trends and Dollar Fair as Trade Wars Escalate?
Disparate fundamental themes are starting to coalesce into a clear sense of general risk aversion. While the US-China trade war was due to further simmer towards its next boil over, President Trump lit an unexpected fuse with the vow of a blanket tariff against Mexico. With the tallies from trade war damage growing more numerous, we may find growth concerns and incapable safety nets overwhelm market stability.
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Dollar Approaches Two-Year High as Major Crosses Grope for Traction
The Dollar is flirting with both volatility and the extension of a choppy trend to fresh multi-year highs. Is that activity level and speculative bias mutually exclusive? If so, we face a slow climb or amplified tumble.
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S&P 500, FTSE 100 Outlook: Trade War Deadline, Brexit Vote, Fed Powell Testimony in Focus
Sell in May and go away was evident with global indices on the backfoot as trade war tensions escalated. Equity markets will be looking to ECB, NFP and Fed’s Powell for a change in fortune.
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Saturday, 1 June 2019
Euro Nervously Eyes ECB Rate Decision, Turmoil in Italy, Trade Wars
Euro traders will find themselves hot under the collar as the ECB announces its rate decision and will likely revise its growth outlook downward.
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Crude Oil Price Collapses Through Key Supports: More to Go?
Crude Oil Prices plunged through a number of supports this week, capped by a loss of 6% on the final day of May. Can bears continue to push prices lower?
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Japanese Yen Remains Biased Higher But Could Struggle This Week
These are good times for haven assets like the Japanese Yen, but the coming week’s events may just see some revival of risk appetite, short term though it will probably be.
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Pound Weekly Technical Outlook: GBPUSD Tags Major Trend Support
GBPUSD continued to trade off last week but hit an important trend-line with several key inflection points dating back to its origination at the October 2016 flash-crash low.
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Dow Jones, S&P 500, DAX 30, FTSE 100 Technical Forecast
The Dow Jones, S&P 500, DAX 30 and FTSE 100 dipped beneath critical support levels as selling pressure continues. Here are the key levels to watch in the week ahead.
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US Dollar Biased Higher as Haven Flows Trump Fed Rate Cut Bets
The US Dollar seems biased higher as haven-seeking demand overwhelms Fed interest rate cut speculation amid escalating trade wars.
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Friday, 31 May 2019
EUR/USD Outlook Biased Lower With EUR/JPY Facing Flash Crash Lows
EUR/USD near-term bullish technical signals may be overshadowed by bearish medium-term ones as EUR/JPY aims for January “flash crash” lows on downside-contrarian price signals.
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Oil Price Outlook: Carnage Continues Amid Weak Global Growth
Crude oil dropped a whopping 9.5 percent last week and the carnage could continue amid escalating global growth risks which threaten to further derail oil demand expectations and prices.
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Dow or Dollar: Which is More Critical Measure of Stability Amid Trade Wars?
Risk aversion took a clear turn for the worse to close out this past week on the back of President Trump’s announcement of a blanket 5% tariff on Mexican imports. Have we finally overcome the market’s reticence to fear?
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Top 5 Events: May Eurozone Inflation Report & EURJPY Price Forecast
The initial May Eurozone inflation report us due on Tuesday, June 4 at 09:00 GMT.
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Forex Volatility Could Spike Further as Global Risks Linger
A tsunami of economic data releases due next week casts a shadow over global risk appetite and is poised to spark additional currency market volatility - particularly in AUD/USD, USD/JPY and EUR/CAD.
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Top 5 Events: June RBA Rate Decision & AUDUSD Price Forecast
The Reserve Bank of Australia meets on Tuesday, June 4 at 04:30 GMT; rates markets are pricing in a 93% chance of a 25-bps rate cut.
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S&P 500 Outlook: Investors Flee Risky Corporate Debt Amid Rout
The HYG ETF registered its largest outflow in 2019 thus far, suggesting investors are becoming increasingly concerned with the state of the S&P 500.
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Central Bank Weekly: What Can the Fed, ECB and BOJ do to Offset Trade Wars?
Due to differences in economies and market structures, different central banks will approach trade wars with different tactics.
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Kiwi Weekly Price Outlook: New Zealand Dollar Grinds at Support
Kiwi collapsed more than 6% from the yearly highs with price now testing support into the monthly close. These are the levels that matter on the NZD/USD weekly chart.
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Gold Price Bullish Breakout Begins amid Topside Range Breach
Gold 1-month implied volatility hit a fresh all-time closing low yesterday, but Gold prices have stopped falling. A bullish sign for bullion?
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