US Market Wrap

Markets finished the day slightly higher after an interesting FOMC meeting.

As we know, central banks around the world are printing money as fast as they can and this is something that the US Federal Reserve has been unashamedly doing for years. However, for the first time since the COVID saga began, Jerome Powell indicated that the rate of bond purchases will be linked to economic conditions, suggesting that there might be an end in sight.

Nevertheless, the seemingly endless money printing, continues to devalue the USD and has led to more upside in the likes of GOLD and BTC which notably hit a new record high.

The Data Agenda

Fresh on the back of the FOMC, we will be hearing from the BOE and SNB, with the former of most interest.

There has been plenty of speculation that the BOE will take rates negative in a bid to prop up the economy after Boris Johnson’s lockdowns have effectively destroyed it. However, analysts are not expecting that to happen at today’s meeting with rates to stay at 0.1% Nevertheless, the GBP/USD will be a key trade today with sentiment improving somewhat around the outlook.

Later, the attention will fall back on to the state of the US economy with the jobless claims data again in focus. We are seeing very different responses to COVID from the various states, which is why this number continues to remain high.

Forex Signal Update

The FX Leaders Team closed three signals in the red yesterday, however, we have a number of open positions, so keep watching the forex signals page.

LTC – Active Signal 

LTC broke through the $85 level, the $90 level and the most recent highs yesterday, and is looking very bullish. As is the entire sector, thanks to Bitcoin’s lead.

AUD/USD – Active Signal 

We are long the AUD/USD fresh on the back of a better than expected jobs result as the economy continuest o recover well. At the same time, the weak Greenback is helping greatly.

Cryptocurrency Update

BTC is charging and has taken out the record highs, while pushing as far as $21,500.

We’ve been bullish on the sector for a while and with fear and uncertainty and a nearly-endless Fed printing press, we could see more upside ahead.