Forex Signals Brief for Nov 5: FOMC and BOE Ahead
Rowan Crosby • 2 min read
US Market Wrap
US markets moved higher after some certainty returned regardless of what the results in the US election might mean.
While Biden is edging closer to victory, it appears that the Government will once again have no real control and that means nothing will get passed easily.
Despite that, the likes of the SPX and risk assets did see some upside yesterday. The result might not be known for some time, as Trump is threatening to take it to the Supreme Court as we saw previously under Gore and Bush.
The Data Agenda
Moving away from the election and back to the data, there is a fair bit going on with central banks today.
We are going to get two key decisions with both the BOE and FOMC set to announce their decision on rates and overall monetary policy.
While both seem unlikely to move on official interest rates, the BOE, in particular, appears to be opening the door for changes ahead and more stimulus.
With Boris Johnson doing his best to shut down the economy with further lockdowns, it might be up to the BOE to fire everything they have at it.
Outside of the central banks we also get some important US data with the claims also being released. This number is falling and we are seeing the jobs situation slowly coming back to life.
Forex Signal Update
The FX Leaders Team hit 3 winners from 4 trades yesterday, in what was one of the wildest days of price action hat we’ve seen for some time.
Keep watching the forex signals page as we just don’t know what is ahead and there are opportunities everywhere.
SPX – Watching
The SPX has been pushing higher despite the election and it looks like it could make a fresh run at the highs in the coming days/weeks.
DAX – Pending Signal
The DAX has continued with the massive rebound off support below and for now, price is still very much bullish.
BTC has been pushing higher along with the other key risk assets and has tested $14,000 which we had suspected was on the cards.
Price is bullish but there are some strong fundamentals behind the move as well. For now, if this level holds that is another big tick on a technical level.