Currencies:
MARKET VIEW
Weekly changes: #EURUSD +0.75%, #GBPUSD +0.80%, #USDJPY -0.18% , #AUDUSD +2.0%, #NZDUSD +2.37%
EURUSD closed at 1.18770. The pair had been rising all week and exceeded 1.1900 on Friday. But it declined later due to the reach of the overbought area.
GBPUSD climbed to a fresh three-week high at 1.38904 thanks to the greenback's softness but couldn't remain at the top and closed Friday at 1.38571.
The Japanese yen strengthened against the greenback while USDJPY closed at 109.673. Meanwhile, the pair showed an insignificant reaction to the Japanese Prime Minister Suga's decision to retire at the end of the month.
AUDUSDrose for two weeks and reached 0.7477, its highest since mid-July. The pair closed Friday at 0.74457, benefiting from the U.S. dollar's weakness, but the actual Australian statistics were better than forecasted.
Like the previous pair, NZDUSD constantly rose for two consecutive weeks and finished Friday at 0.71568. Having entered the COVID lockdown, New Zealand's central bank issued a pretty hawkish statement that boosted the pair.
BULLISH TRIGGERS
The eurozone inflation is at a decade high supported by the EURUSD pair as well as the greenback's weakness. The ECB will hold its meeting this week. If its statement sounds hawkish, the pair has the opportunity to extend its advance to 1.120. GBPUSD behavior was similar to the previous pair. The GBPUSD rose all week and touched 1.38900. The pair had been trading within a wide range for the past two months. And every approach to the edges led to the opposite reversion afterward.
The Australian GDP showed better than expected numbers, which resulted in the pair's growth. The RBA will hold its meeting this week, and the investors anticipated the dovish sentiment due to the large numbers of COVID cases in the country. But New Zealand showed the opposite. Having entered the COVID lockdown, the RBNZ declared that it would raise rates towards the end of the year, as it was supposed to. Irrespective of the country's health status. That gave NZDUSD an additional boost. We'll see by midweek whether the RBA will change its tone of voice.
BEARISH TRIGGERS
USDJPY declined due to the broad greenback weakness. This week the release of the Japanese GDP may influence the pair's further direction.
For Potential forex signals Sign-up Now: https://bit.ly/3xYiZ24
No comments:
Post a Comment