We don’t have a ton of top-tier reviews coming our approach however that doesn’t imply we received’t see volatility among the many main greenback pairs!
As we speak I’m trying out EUR/USD’s short-term uptrend.
Earlier than shifting on, ICYMI, yesterday’s watchlist appeared for a possible reversal on AUD/USD’s 1-hour time-frame. You’ll want to try if it’s nonetheless a sound commerce!
And now for the headlines that rocked the markets within the final buying and selling classes:
Contemporary Market Headlines & Financial Knowledge:
Lagarde: no indicators that inflation will rise excessive sufficient to “require measurable tightening”
Lagarde: “A fee hike won’t happen earlier than our web asset purchases end”
Japan actual wages down by 2.2% in Dec, the largest drop since Could 2020
Japan’s family spending fell by 0.2% (vs. -0.3% anticipated) in Dec, the fifth straight month of lower
BRC: U.Ok. retail gross sales up by 8.1% from a yr in the past in Jan (vs. 0.7% anticipated, 0.6% in Dec) as a result of easing lockdown restrictions
AU NAB enterprise confidence survey confirmed enterprise circumstances falling by 5 factors however confidence rebounding by 15 factors in Jan
U.S. and Japan agree to chop metal tariffs. The U.S. will cease charging a 25% levy on Japanese metal imports, excluding aluminum, as much as a 1.25m metric ton annual threshold
European fairness markets buying and selling increased forward of US inflation knowledge
U.S. commerce stability at 1:30 pm GMT
Canada’s commerce stability at 1:30 pm GMT
AU Westpac shopper sentiment at 11:30 pm GMT
NZ quarterly inflation expectations at 2:00 am GMT (Feb 9)
Japan’s preliminary machine instruments orders at 6:00 am GMT (Feb 9)
Germany’s commerce stability at 7:00 am GMT (Feb 9)
Use our new Forex Warmth Map to shortly see a visible overview of the foreign exchange market’s worth motion! 🔥 🗺️
What to Watch: EUR/USD
U.S. session merchants received’t be seeing top-tier reviews right this moment however that doesn’t imply the foremost greenback pairs received’t see respectable volatility!
EUR/USD is hanging out on the 1.1400 main psychological deal with, which is close to the 100 SMA on the 1-hour chart; the 38.2% Fibonacci retracement of February’s upswing, and a pattern line assist that’s been round since late January.
An absence of catalysts simply may lengthen EUR/USD’s short-term uptrend. European equities have opened a bit increased right this moment thanks partly to constructive earnings reviews.
However will the great instances final for euro bulls? Uncle Sam can be releasing January’s inflation tomorrow and, if we see faster-than-expected shopper worth progress, then the Fed may step up its tapering/tightening timeline and push the greenback increased throughout the board.
EUR/USD may solidify its bounce from the 1.1500 zone and head in direction of the foremost space of curiosity close to 1.1300.
If U.S. and Asian merchants catch the risk-taking bug, nonetheless, then EUR/USD could discover assist from the pattern line and 100 SMA and knock on the 1.1500 for an additional time within the subsequent buying and selling classes.
Stochastic is at present favoring the euro with an oversold sign however preserve your eyes peeled in case we begin to see bullish candlesticks after which momentum above the 1.1400 psychological degree.