Central Banks Tread Carefully: Fed and BoE Expected to Maintain Interest Rates
In the coming week, central banks on both sides of the Atlantic are set to announce their interest rate decisions. The Federal Reserve, led by Chair Jay Powell, has acknowledged a "range of uncertainties" in the US economy. Consequently, Powell has pledged to proceed with caution when...
Gold (XAU/USD) has seen the bullish momentum weaken in the past few days, but this is only normal given the magnitude of the move in recent days. A flight to safety rush saw investors pile into gold to help diversify their risks as the conflicts in the Middle East erupted. The momentum has held strong throughout the past two-and-a-half weeks but buyers have run...
The recent moves in oil will have been disappointing for those who expected to see a sustained bullish rally following the Hamas attack on Israel and its subsequent attacks. The setup looked increasingly promising two weeks ago when both US crude (WTI) and Brent crude rallied around 5% on Friday the 13th leading into a weekend of uncertainty regarding how...
Welcome to the Day Trader's Toolbox, a 3-Part series focused on enhancing your day trading skills.
In this second instalment, we delve into the intricacies of VWAP (Volume Weighted Average Price) , a versatile indicator that can help you navigate intra-day price action.
I. Understanding VWAP:
What is VWAP?
VWAP calculates the average price at which...
The European Central Bank (ECB) will be delivering its latest policy updates on Thursday at 13:15 BST. It’s likely that the bank will not rush to make any major amendments at this meeting, opting to hold and wait to see how the latest data plays out. This is what markets are anticipating according to data from Reuters, showing a 99.3% chance of no hike as of...
The Bank of Canada (BoC) will be meeting on Wednesday afternoon (15:00 BST) for its seventh meeting this year. So far, the bank has hiked 10 times since March 2022, taking the rate from 0.25% to the current 5% reached in July this year. Since reaching this level, the BoC kept rates unchanged at the September meeting and, according to Reuters data, markets are now...
Barclays (BARC)
Financial Snapshot:
Barclays announced a 16% decrease in profit for the third quarter. This decline was primarily attributed to sluggish revenue growth in its UK retail division and lackluster performance in its investment bank, impacted by a shortage of M&A deals and reduced trading activity. However, Barclays managed to exceed expectations...
EUR/AUD: Technical Outlook
Amidst the sideways movement in major currency pairs, our attention turns to EUR/AUD, which has started to trend higher again.
Inverted Head and Shoulders Pattern
On the daily candle chart for EUR/AUD, there has been a significant development with the formation of an inverted head and shoulders pattern. This pattern indicates a...
Welcome to the Day Trader's Toolbox, a 3-Part series focused on enhancing your day trading skills.
Day trading is all about seizing quick opportunities without overnight risk. In this first instalment, we'll delve into a fundamental tool every day trader should understand: the Previous Day's High (PDH) and Previous Day's Low (PDL). These levels are essential...
Aston Martin Lagonda Global Holdings (LSE:AML)
Aston Martin’s share price had raced higher during the summer after Chinese carmaker, Geely doubled its stake in the historic British brand.
Geely, a long-standing admirer of Aston Martin, had previously made multiple attempts to acquire the company. In May, Geely acquired 42 million shares from Aston Martin's...
There’s a lot to unpack on EUR/USD’s daily candle chart (below), so let’s start at the turn of the month with EUR/USD pressing down into the lower Keltner Channel having broken below a key level of support.
From this oversold position in early-October, EUR/USD put in a steady retracement higher, forming a small ascending retracement channel. This retracement...
Welcome to the final instalment of our 7-part Power Patterns series where we aim to give you the skills to trade powerful price patterns which occur on any timeframe in every market.
Last but by no means least is the Gap & Go pattern. Price gaps epitomise power and the Gap & Go is must for any active trading looking to take advantage in a spike in volatility....
Advanced Micro Devices (AMD)
U.S. chip maker, AMD’s recent price action indicates that its long-term uptrend may be kicking back in.
Having hit highs of $130 in June, the shares have undergone a prolonged period of consolidation which has seen the shares pull back to a confluent area of support.
The shares have completed a 38.2% Fibonacci retracement from the...
Content:
Amidst escalating tensions in the Middle East, both oil and gold prices have gapped higher in early trading on Monday. Let’s delve into the factors driving these market moves.
Oil Prices Surge Amidst Middle East Unrest
While Israel itself is not a major oil producer, there are worries that the conflict in the Middle East could lead to tougher...
U.S. Non-Farm Payrolls Preview
As U.S. non-farm payrolls data approaches, set to release tomorrow (Friday, October 6th) at 1:30 pm (UK time), let's delve into market expectations and positioning regarding this pivotal economic report.
Expectations:
In August, the US added 187,000 new jobs, but the unemployment rate also rose to 3.8%. This increase was...
Welcome to our Power Patterns series in which we teach you how to trade some of the most powerful price patterns which occur on any timeframe in every market.
The pullback is undeniably one of the most valuable trading patterns as it offers an opportunity to join established trends at favourable levels of risk / reward. However, in real-world trading...
Gold: How low can it go?
It’s been a bad couple of weeks for gold bugs with the precious metal sinking to a six-month low.
A key driver behind the gold sell-off has been the strength of the U.S. dollar which was given fresh impetus following the Fed’s hawkish ‘higher for longer comments’ at the latest FOMC meeting.
Given that gold is typically priced in...
Marks & Spencer (MKS)
Financials:
Marks & Spencer reported strong growth in both its Food and Clothing & Home businesses for the first 19 weeks of the financial year. Food sales increased by over 11%, driven by price changes, while Clothing & Home sales grew by more than 6%, primarily due to in-store growth. Despite economic uncertainties, the company expects...
