Forex Signals US Session Brief, Nov 14 – The Risk Is Off Again Amid Trade Deal Uncertainty

Posted on November 14, 2019 by Skerdian Meta

The sentiment has been mostly negative in financial markets in the last year, but in October the sentiment improved after US and China agreed to a partial trade deal, which sent risk assets higher. But, this month, the sentiment has turned negative again, especially this week, after comments from top US officials that the trade deal might be delayed for December. China officially delivered on one minor point in trade talks, removing restrictions on US poultry and meat products, which is a step in the right direction. But that wasn’t enough to improve the sentiment and safe havens such as [[Gold]] and the JP are gaining momentum. Continue reading “Forex Signals US Session Brief, Nov 14 – The Risk Is Off Again Amid Trade Deal Uncertainty” →

Forex Signals US Session Brief, Nov 12 – Quiet Markets As We Await Donald Trump’s Speech

Posted on November 12, 2019November 12, 2019 by Skerdian Meta

Financial market have been pretty quiet this week. Last week we saw some decent price action across all major pairs, which came mainly from the USD side. The USD turned pretty bearish in October after being bullish for more than a year. But, the deterioration of the US economy, particularly the manufacturing sector as the ISM report showed, turned the situation against the USD. The FED also cut rates for the third time in a row last month and despite being done with rate cuts for now, they left the window open for more cuts, rather than rate hikes.

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Forex Signals US Session Brief, Nov 11 – UK Economic Data Disappoints but the GBP Rallies on Farage’s Comments

Posted on November 11, 2019November 11, 2019 by Skerdian Meta

The price action in financial markets today has been pretty quiet and I expected it to get even more quiet and eventually die out as we head toward the end of the European session, since North American markets are closed for Remembrance Day. Although, we have seen some decent price action in GBP pairs during the European session. [[GBP/USD]] surged around 120 pips higher earlier on. But, that didn’t come from the GDP report, which showed that the UK economy continues to weaken since all components missed expectations and many of them came in negative.

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Forex Signals US Session Brief, Nov 8 – USD Continues to March Higher, While Employment Declines in Canada

Posted on November 8, 2019 by Skerdian Meta

The USD has been pretty bearish since early October, after the US ISM manufacturing reports showed that this sector deepened the contraction and the non-manufacturing sector was being affected as well, with ISM non-manufacturing approaching contraction as well. But, this week the sentiment improved for the USD after the ISM non-manufacturing report showed a decent jump for October, which reverses the softening trend. As a result, the USD turned bullish this week and the climb has continued today as well, as the Buck crawled higher across the board. Continue reading “Forex Signals US Session Brief, Nov 8 – USD Continues to March Higher, While Employment Declines in Canada” →

Forex Signals US Session Brief, Nov 7 – Risk Flips On and Off on Trade Deal Comments, the BOE Prepares to Cut Rates

Posted on November 7, 2019 by Skerdian Meta

The sentiment improved considerably in October in financial markets. The US and China reached a partial trade deal and UK PM Boris Johnson struck a Brexit deal with the EU. As a result, risk assets such as stock markets and commodity currencies have been climbing higher. But, the UK parliament shot dead Johnson’s deal once again and the UK is now heading towards general elections. The “Phase One” trade deal is not so certain now wither, after comments form a senior US official last night. Continue reading “Forex Signals US Session Brief, Nov 7 – Risk Flips On and Off on Trade Deal Comments, the BOE Prepares to Cut Rates” →

Forex Signals US Session Brief, Nov 5 – Services Move Away From Contraction in the UK

Posted on November 5, 2019November 5, 2019 by Skerdian Meta

The global economy has weakened considerably this year and many sectors of British economy have fallen into contraction. Manufacturing and the industrial production have been hurt the most by the trade war and these sectors were the first to fall into contraction, whether in the Eurozone, China, US or Japan. But, the contraction in manufacturing activity has spilled into other sectors of the economy in all these major countries and in the UK, the services sector which accounts for 4/5ths of the economy fell into contraction as well in September, as last month’s report showed.

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Forex Signals US Session Brief, Nov 4 – Some USD Buyers Return, With Caution

Posted on November 4, 2019November 4, 2019 by Skerdian Meta

Last month the USD turned pretty bearish. ISM manufacturing reports showed that this sector has been in contraction for three months now. Besides that, the FED cut interest rates for the third time in the last three meetings and despite them pausing the rate cuts for now, they let us know that the next move from them will likely be another cut, rather than a rate hike. This leaves the USD with an unclear future, and it extended the bearish move after that meeting.

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Forex Signals US Session Brief, Nov 1 – USD Finds Some Relief After A Decent Employment Report

Posted on November 1, 2019 by Skerdian Meta

The USD has turned quite bearish this month. It has been bullish for more than a year, since traders had nowhere to turn to, with most major economies of the world heading towards stagnation. But, the US economy has weakened considerably in recent months and last month’s ISM manufacturing report turned the USD bearish, since it showed that this sector fell deeper in contraction in September. The partial trade deal between US and China also helped the sentiment in financial markets, turning most of risk currencies higher against the Buck. The FED has also turned pretty dovish, with inflation weakening and the economy slowing down. Continue reading “Forex Signals US Session Brief, Nov 1 – USD Finds Some Relief After A Decent Employment Report” →

Forex Signals US Session Brief, Oct 31 – USD Declines on Dovish FED, Safe Havens Rally on Trade Pessimism

Posted on October 31, 2019October 31, 2019 by Skerdian Meta

Yesterday the FED cut interest rates for the third time in the last three meetings, bringing them down to 1.75%. As I predicted, the USD jumped higher immediately after the rate cut announcement, since markets knew already that it was coming. So, the statement and the press conference were going to be more important, letting us know where the FED is headed for the coming months. FED chairman, Jerome Powell said that the monetary policy is in a good place now, meaning that they are done with rate cuts for the time being. But then he added that inflation needs to pick up substantially for them to start hiking rates again. With Crude Oil prices falling and the global economy slowing, it will take along time for inflation to increase, which leaves the FED more likely to cut rates again then to increase them. So, the USD turned bearish and it is continuing to slide lower today as well.

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Forex Signals US Session Brief, Oct 30 – Some Positive Numbers From the US Ahead of the FED Meeting

Posted on October 30, 2019October 30, 2019 by Skerdian Meta

The global economy has been weakening for more than a year. The manufacturing sector and the industrial production have been hit the hardest from the trade war. The US economy, on the other hand, was holding up well until Q2, but it started slowing down as well and the slowdown picked up pace in recent months. As a result, the FED has turned quite dovish, cutting interest rates twice in the last two meetings and they are expected to cut them again today. The economic data has been pretty soft,which has forced the FED to take action, but today’s numbers weren’t too bad.

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