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The main event on the foreign exchange market yesterday was the announcement of the outcome of the Bank of Canada meeting. For the fourth time, the Central Bank did not raise the rate. The decision is predictable and has been accounted for in the Canadian dollar price. But what was not considered? The fact that the Bank of Canada completely removed the mention of...

Long term wise, the Euro presents us with an interesting risk/reward scenario to go long, long term. I like the odds here, risking a mere 50 to 150 pips down from here, but with upside of up to 20% long term. I'd say this is a good deal. Worth a 0.25 to 1% risk shot. Best of luck, Ivan Labrie.

On the monetary side, Fed taking the spotlight so let’s start digging into the details… Expecting the Fed to lower the “dots” signalling one hike in 2019 … a “one and done” approach. June seems unlikely now as the Fed has started to focus on inflation to keep equity markets happy. My base case is for a hike in December meaning the dollar looks underpriced at...

The removal of 2019 hikes is worth highlighting because it does not fully support the story we are being told from macro data meaning the bar is set high for any further hikes. History tells us it’s very unusual for the Fed to pause for a long time in hiking cycles before resuming meaning this is likely the end of hikes in the cycle. See tradingview for a more...

=> For those who believe in the bearish Turkey story, we are in the early stages of a 5th wave which we mentioned in our previous ideas... it can be seen clearly here and shows how the floodgates for the highs are wide open. From a technical perspective the 5th wave target, the first major target is 7.85 (assuming wave 5 is a 1.00 ratio in length of wave 1)....

Hello traders, This pair has been trading in a narrow range for the recent days where bulls and bears are fighting to take control Bulls aim to break 1.132-3 resistance area in order to keep advancing towards higher levels near 1.139 where sits a 7-month down trend-line. Bears aim to break 1.127-5 support area in order to keep retreating towards lower levels near...

HEAD AND SHOULDER PATTERN WAS ALREADY COMPLETED SOME MONTHS AGO ON THE WEEKLY CHARTS! Since then the price has been dropping towards the target and the next support that lies in the region of 1.1000. At the moment the EUR Is too oversold which is also evident on the RSI of daily charts (bullish divergence), The SPOT would likely recover some of its losses until...

Looking to buy dips towards 1420/1380 with stop just below 1380. First target around 1,1600/50, second towards 1,20 GL

The pound “reacted” to the UK data came out earlier, more than calmly. Meanwhile, investors and traders are betting whether the pound will confirm the existence of the “April Rally” pattern or not. Recall that over the last 13 years (with the exception of the last year), the pound in April strengthened against the dollar. This was perhaps the strongest seasonal...

EURUSD can go lower as pattern shows price facing 1.1278, 20day EMA, if we see this resistance broken next level to aim is 1.1240. Upside resistance sits at 1.1330. MACD on 4h chart still in bullish...

There were no particularly strong movements in the foreign exchange market on Wednesday. So let us analyze the main events of yesterday. The ECB left the rate unchanged. The Draghi conference was perceived by the markets quite cool, at least judging by the dynamics of the euro. Although the head of the ECB did not say anything new. He noted that the output data...

Wednesday promises to be a difficult day for the euro and the pound. There are two extremely important events will take place today: the ECB meeting and emergency summit of EU leaders to consider UK request for further extension until 30 June, with the option of an earlier Brexit day if a deal can be agreed. Let's start with the ECB meeting. Surprises are not...

So, starting with the fundamentals, we see no major news at the start of the week. However, there is volatile EUR news on Wednesday, with the main refinancing rate being released as well as the Monetary Policy Statement at 12:45 GMT. The Monetary Policy is crucial to understand data on interest rates and inflation. On to the technicals and starting on the daily...

European Union leaders are open to new deals with China. In order to hedge the current risk of US trade tariffs China has spread its trade network far and wide. All over Africa, Chinese companies have invested and gained majority shares in mining companies, utilities and agriculture. Next week we will see during the EU-China summit what investments China will make...

Monday was a very busy day for financial markets. It was partly due to the processing of weekend news (May's statement on Brexit, the results of the elections in Turkey), partly with new news stories. But first things first. Brexit news. May’s attempt to hold the fourth vote in a row failed so far. Monday didn’t bring anything new to the current Brexit...

Looks like temporary dip been created so market may want to looks for some stops to the upside. I would like to join that journey by trying to buy dips down towards 1230 and below with tight stop under Friday low with 1,1280/1290 as first possible target

The price returned to test. The price returned to test the medium term key support at 123.8. If it were violated to the downside with closure below it would be a strongly bearish scenario. This would immediately lead it to the next static support at 122.6. Within a couple of sessions then could try to break it down. The pair could reach the next support area at...

I've talked extensively on how a no deal Brexit is more likely here: This is primarily my reasoning behind why I'm neutral to short on EURUSD in the medium- to long-term (1 to 3 months). There's plenty of other good reasons to be short EURUSD including...