US Market Wrap

US markets fought back on Friday after a week filled with plenty of headlines.

Once again, the surge in virus cases continues to be a talking point, despite the fact that we heard the positive news on a vaccine only last week.

At this stage, it appears as though any vaccine won’t be widely available until next year at best. There is also the growing concern that if Biden does ultimately take control, he will do his best to lockdown the economy citing the virus as the reason.

Nevertheless, we are still seeing money flow into risk assets, with the key NASDAQ names still moving strongly. While the risk-on majors bounced back last week in light trade to end a busy week.

The Data Agenda

The data agenda is a bit quieter than we have seen for a while, however, there are a host of central bank speakers that will be taking the stage all week long.

We’ll be hearing from the FOMC, ECB, BOE and RBA, but at the same time, are we likely to hear anything new or market moving?

There is still speculation about negative rates in many parts of the world, but with economies improving, sentiment might be changing.

Out of the US, the main data points will be retail sales which should be continuing to get a bit better, while the weekly jobless claims are falling which is positive.

Forex Signal Update

The FX Leaders Team hit 9 winners from 19 trades in what was another busy week of news, but price action was relatively quiet to end the week.

Keep watching the forex signals page as there could be more action ahead in the coming days.

EUR/GBP – Active Signal 

The EUR/GBP is in a really nice technical downtrend and price is also under the 0.9000 level. These are all ingredients for a short signal and this one remains open for now.

EUR/USD – Active Signal 

The EUR/USD remains under that key 1.1900 level and as a result, we maintain our short position for the time being.

Cryptocurrency Update

Unfortunately, our BTC position got shaken out at the $16,000 level after price only ran as high as $16,500.

This was a really great spot for the breakout and the reality is you just can’t control how far price will run.

That said, we now need to see if the buyers are prepared to hold up price given that it has fallen under the $16,000 level. If the uptrend breaks and the most recent low gets taken out, we could actually see price fall away.