Forex Signals Brief for Jul 17: Sentiment Remain Shaky
Rowan Crosby • 2 min read
US Market Wrap
The US markets finally put in a red session, after continually pushing higher, despite rising COVID cases worldwide.
Yesterday, we saw a better than expected retail sales print out of the US, but it wasn’t enough to ease concerns that shutdown measures will be re-introduced. This is expected to weigh heavily on the economy as many hoped we had moved past that point.
We also heard from the ECB, who didn’t really offer any changes to their current monetary policy and are happy to continue with the wait and see approach they have been adopting so far.
The SPX closed red on the session, with the Greenback rebounding off the lows.
The Data Agenda
The week will be ending with a number of data points that will be worth paying attention to, but once again we will need to closely monitor sentiment.
In the UK, the GBP/USD will see the release of retail sales, while BOE Governor Bailey is also speaking later in the session.
It looks like the EUR/USD could be one of the busy ones with a host of releases, including the latest CPI print from the Eurozone and a couple of ECB speakers. On the back of yesterday’s ECB meeting, it is highly unlikely that the speakers will have anything market moving to say, but it will be worth paying attention to.
Finally to the US, and we will get building permit data and also Michigan Sentiment. However, the real thing to be watching is how equities open. If they start the session weak, then we could see some profit-taking into the weekend.
Forex Signal Update
The FX Leaders Team closed one signal in the green yesterday as we look to close the week out strongly.
USD/CAD – Active Signal
The USD/CAD has bounced perfectly off the 1.3500 level and we are long here with that support holding firm.
EUR/USD – Active Signal
The EUR/USD is still looking bullish on the charts despite the pullback. We are long here looking for another push to the upside.
BTC was in the news yesterday after the Twitter hack saw money being directed into some online wallets in a classic scam.
As mentioned at the time, price didn’t break out of the $9,000 to $9,500 range and volatility remains low at the moment.
Should I buy or sell us/cad? Which will be a better deal today?