FX

Palladium gradually overcomes three-month low, up for second positive day. 50% Fibonacci retracement, 100-DMA guards immediate upside, multiple horizontal lines test the bulls afterward. Late March low, 61.8% Fibonacci retracement restrict short-term downside. Palladium (XPD/USD) holds onto the previous day’s recovery moves from mid-March lows, taking rounds to $2,595 heading into Tuesday’s European session. In

Improving demand outlook continues to boost crude oil prices. Nuclear talks between Iran and US come to a halt after Iran’s presidential election. Focus shifts to weekly crude oil stock data from US. Crude oil prices registered gains for the fourth straight week last week and preserved the bullish momentum on Monday with the barrel of

Palladium revisits 200-DMA, five-month-old trend line on a bounce from three-month low. Bearish MACD, strong upside hurdles and US dollar strength probe the buyers. Horizontal area from November 2020 adds to the upside filters, sellers brace for a bumpy road ahead. Palladium (XPD/USD) consolidates recent losses below $2,500, up 0.82% intraday near $2,495 ahead of

What you need to know on Monday, June 21: The greenback kept rallying on Friday, posting its best weekly performance for this year. The advance was an extension of the post-Fed rally, as the US central bank catch investors off guard by bringing forward chances of rate hikes to 2023. Stocks fell in Europe and

Next week, the Bank of England will have its monetary policy meeting. Analysts at Wells Fargo, believe the central bank will signal another slowdown in asset purchases over the next few month. They see the next tapering taking place by the end of the summer. Key Quotes:  “Over the past few months, the Bank of

Commenting on the market reaction to the FOMC’s hawkish shift this week, Rabobank analysts noted that the sharp rally in the USD on the back of this week’s Fed meeting suggests a sharp re-adjustment in positions has been taking place.  Key quotes “It is possible that the Fed did too good a job in recent

GBP/USD Weekly Forecast: BOE may save sterling after massive Fed-induced 300-pip blow GBP/USD has tumbled down in response to a Fed decision, UK reopening delay. The BOE’s decision and a bulk of US figures are set to move the currency pair. Mid-June’s daily chart is showing bears are taking over. The FX Poll is pointing

Analysts at MUFG Bank point out that their assumption of ‘more of the same’ from the Federal Reserve meeting this week was wrong and the outcome has already been considerable and there are clear upside risks to the US dollar. They argue though that the Fed will not want to see a repetition of what

EUR/JPY trades cautiously in the Asian session. The Euro gains on the higher inflation data. Yen remains a non-performer on the submissive economic outlook EUR/JPY accumulates minor gains on Friday in the Asian trading hours. The pair fell sharply from the high of 132.90 in the previous session to close near 131.20.  At the time of

Loonie under pressure amid lower crude oil and a decline in Wall Street. US Dollar’s momentum remains in place, even as US yields pullback. The USD/CAD is rising for the fifth consecutive day in a row and is holding onto all gains. It is hovering around 1.2340, near the six-week high it reached on Thursday

BOJ may start debating from around 2023 ways to phase out extraordinary stimulus, including by ditching negative rates BOJ could buy green bonds in the future, though not any time soon BOJ may raise short-term rate to around 0-0.5% but such move will be withdrawal of extraordinary stimulus, not beginning of rate-hike cycle BOJ likely

Inflation data from Canada released on Wednesday, showed larger-than-expected numbers. According to analysts at the National Bank of Canada, price pressures are mounting in Canada but they think is a transitory phenomenon. Key Quotes: “Canada’s consumer price index rose 0.5% in May (not seasonally adjusted), one tick above consensus expectations.” “Although less acute than south of

With the Australian-Sino relations on tenterhooks, the OZ Trade Minister Dan Tehan said that his government is legally preparing itself before asking the World Trade Organization (WTO) to resolve its wine-tariff trade dispute with Beijing, per South China Morning Post (SCMP). Key takeaways The WTO action was “under active consideration” and Australia would be “making

The AUD is under some pressure after the RBA minutes noted it would be premature to bring QE to an end. Strategists at TD Securities look for another AUD50 bn in QE over 6 months. For now, AUD/USD continues to respect its recent range boundaries as investors also have a major speech from Governor Lowe

The minutes of the June 2021 Monetary Policy Meeting of the Reserve Bank has been released.  traders were looking for any anticipation about where the discussion about tweaking QE in July is heading. RBA minutes Board agreed it would be “premature to consider ceasing” the bond-buying programme.Policy would need to remain highly accommodative to reach

Riksbank’s, Sweden’s Central Bank, Deputy Governor Martin Flodén said on Monday that they see no problems at all currently in the credit market in Sweden, as reported by Reuters. While commenting on inflationary pressures, Floden noted that they remain low in the country. Market reaction The EUR/SEK pair, which touched a fresh weekly high of

USD/JPY is on the verge of a restest of the 110.00 level.  Bulls have pierced the hourly resistance and broken 15-min structure.  USD/JPY is on the way to the 110 area as the US dollar continues to firm following Friday’s bullish perforace.  The -61.8% Fibonacci of the hourly correction comes in at 109.99.  Hourly chart 15-min

What you need to know on Monday, June 14: The dollar advanced on Friday, to close the week with gains against all of its major rivals. However, no critical threshold was broken. Demand for the American currency was backed by solid US data, which points to an underway economic comeback, as the preliminary estimate of