Forex Signals Brief for Feb 19: Traders to Wait on FOMC Minutes
Rowan Crosby • 2 min read
US Market Wrap
US market participants were back at their trading desks but were a bit more cautious to start the week than what we’ve been seeing.
The SPX ended the session modestly lower, in what was a ‘no-frills’ day in terms of major news or announcements.
Today session does see a little bit of key data rolling out across a number of different countries.
Early on the UK will again be dropping some top-tier data when we get a look at CPI. There is the expectation for a slight uptick here to 1.6% YoY so the GBP/USD will again be hopeful of more positive news stories.
Later in the session, we’ll also be getting CPI out of Canada with that economy tracking a little bit better so the USD/CAD will be one to watch.
During the US session, PPI and building permits are scheduled, but I would expect all the attention to be on the release of the FOMC Minutes.
We really aren’t expecting to hear anything earth-shattering today, but most will be interested to head comments on the impact of the coronavirus.
Otherwise, there would be a chance of a review taking place this year and that might be something that could move the Greenback.
Forex Signal Update
The FX Leaders Team finished with two wins from three signals thanks to the Euro remaining very weak.
GBP/JPY – Pending Signal
The GBP/JPY has been relatively range-bound with 143.50 as key resistance. Another test and fail here could be a nice short entry.
EUR/CHF – Active Signal
The EUR/CHF has been selling off with the EUR really on the slide. We have had a number of short signals end in a profit and this longer-term trade has been hedged off nicely.
BTC is back above the $10,000 level and is really just rotating around this point at the moment.
Clearly the price action is bullish above this area, but it is so jumpy and tough to read that I think sitting on the sidelines is most prudent at the moment.
There hasn’t been a real fundamental catalyst that’s driving this push so time will tell how this level responds.