US GDP Jumps But Not The Dollar
Skerdian Meta • 2 min read
The final reading of the US GDP data was released a short while ago and it was pretty upbeat. The Q1 US GDP stood at 1.2% in the last reading. It has jumped to 1.4% in the final reading.
It´s not great but it beat expectations and moved 2 points higher. Besides the positive GDP report, the US unemployment claims remained at decent levels as well. Overall, US economic data was pretty upbeat today.
Another strong indicator in today´s GDP report was personal consumption, which jumped from 0.6% to 1.1%.
Yet, the Buck is still suffering. In fact, it looks like it´s dying and there´s nothing the can jump start it.
There has been a rise in risk appetite over the last several days. In my opinion, that´s one of the main factors that are hurting the Buck, as well as the Yen and the Swissy.
Crude oil prices have been climbing nonstop during this period and risk currencies, such as the commodity currencies and the Euro, have been following oil prices too.
I hate these relentless uptrends (or downtrends) because you can´t go against such strong moves. At the same time though, you can´t go with the flow either because violent pullbacks are frequent in strong trends.
So, we´re playing crosses instead, but our EUR/GBP signal is not going anywhere anytime soon either.
Actually, USD/JPY has retraced about 40 pips lower over the last couple of hours, which gives us a good opportunity to jump in on the northbound USD/JPY train. Although I prefer to wait for the price to reach the 50 SMA (yellow) on the hourly forex chart, it probably won't be long.
I´m waiting for the price to reach the 50 SMA
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