Which instrument do you see as the most interesting to trade this week?
Final Results
26%
EURUSD
43%
Gold
12%
Crude Oil
20%
Stocks and Indices
#WaveAnalysis
#Nikkei225 falling inside impulse sequence ⑤
Likely to fall to 16000.00
https://fxpro.news/market-snapshots/nikkei-225-wave-analysis-16-march-2019-20200316/
#Nikkei225 falling inside impulse sequence ⑤
Likely to fall to 16000.00
https://fxpro.news/market-snapshots/nikkei-225-wave-analysis-16-march-2019-20200316/
#WaveAnalysis
#AUDUSD under bearish pressure
Likely to fall to 0.6000
https://fxpro.news/market-snapshots/audusd-wave-analysis-16-march-2019-20200316/
#AUDUSD under bearish pressure
Likely to fall to 0.6000
https://fxpro.news/market-snapshots/audusd-wave-analysis-16-march-2019-20200316/
Friday's bounce gave way to a collapse comparable to what we saw on Thursday. At the time of writing, the Dow Jones is losing 12% - the worst intraday drop since 1987. The FTSE100 has fallen to 4840 (-14.7%) within the day, and is now fighting for the 5000 mark. Vix is at its highest since 2008.
The dollar index is adding 0.2% to Friday's close, but individual currencies are showing dramatic changes to the dollar. Our volatility gauge updates its highs. JPY grew about 1%, GBP fell to 1.2210 - lows since October and historically low levels. Tied to commodity prices ZAR, NOK collapsed by more than 3% today. Losses of AUD, TRY are close to 2%.
The range of gold fluctuations on Monday exceeded $120, as a flick up to $1575 followed by collapse in the area of $ 1450.
Brent crude prices on the spot market fell earlier today to $30.7 (-13.7% by Friday close). At the time of writing, quotes are growing for the third hour, adding about $1. Steadily below these levels, Brent traded for the last time in 2004.
The dollar index is adding 0.2% to Friday's close, but individual currencies are showing dramatic changes to the dollar. Our volatility gauge updates its highs. JPY grew about 1%, GBP fell to 1.2210 - lows since October and historically low levels. Tied to commodity prices ZAR, NOK collapsed by more than 3% today. Losses of AUD, TRY are close to 2%.
The range of gold fluctuations on Monday exceeded $120, as a flick up to $1575 followed by collapse in the area of $ 1450.
Brent crude prices on the spot market fell earlier today to $30.7 (-13.7% by Friday close). At the time of writing, quotes are growing for the third hour, adding about $1. Steadily below these levels, Brent traded for the last time in 2004.
When will the markets return to growth? Here is the answer
In our view, market sentiments are pegged to the daily number of new infected. When China and Korea managed to seriously slow down the spread of the virus, markets returned to growth. In the first half of February, Asian indices were falling more in the countries with the biggest number of detected cases. Later, on February 21, European and American indices began to decline. And the turbulence is increasing in line with the growing number of new cases there.
If our observations are correct, the stock markets may gain ground for growth when the number of new cases start to decrease day after day. Yesterday we saw such a decline, although it is more of a formality. Worldometer showed 12,896 new cases on March 16, compared to 12,924 a day earlier.
https://fxpro.news/daily-forex-outlook/when-will-the-markets-return-to-growth-here-is-the-answer-20200317/
In our view, market sentiments are pegged to the daily number of new infected. When China and Korea managed to seriously slow down the spread of the virus, markets returned to growth. In the first half of February, Asian indices were falling more in the countries with the biggest number of detected cases. Later, on February 21, European and American indices began to decline. And the turbulence is increasing in line with the growing number of new cases there.
If our observations are correct, the stock markets may gain ground for growth when the number of new cases start to decrease day after day. Yesterday we saw such a decline, although it is more of a formality. Worldometer showed 12,896 new cases on March 16, compared to 12,924 a day earlier.
https://fxpro.news/daily-forex-outlook/when-will-the-markets-return-to-growth-here-is-the-answer-20200317/
The Monday collapse of US stocks was the third-largest in history (-12.9%) eclipsing the decline last Thursday. Earlier today, S&P500 jumped 5% and turned negative in just 90 minutes. US stocks are trading in different directions: S&P500 + 0.9%, Dow Jones -0.4%. The FTSE100 is down 1.6%, despite support in the form of a sharp decline in the pound.
It isn't easy to find a financial asset that feels better than the dollar recently, as global companies turn to it as a liquidity. DXY grew by 1.6% today, already returned to the peak levels of late February (to 3-years high). EURUSD crashed more than 1.7% collapse in ZEW index. GBPUSD returned to near 30+ years lows around 1.2050. AUDUSD sink below 0.6000 for the first time since 2003.
Over the past 4 hours, Gold grew from $1,460 to $1,520, while maintaining the extreme range of intraday fluctuations.
Brent in the spot market fell below $ 30.50, but the last hours stabilized at $ 30.8.
All eyes are on the US markets.
It isn't easy to find a financial asset that feels better than the dollar recently, as global companies turn to it as a liquidity. DXY grew by 1.6% today, already returned to the peak levels of late February (to 3-years high). EURUSD crashed more than 1.7% collapse in ZEW index. GBPUSD returned to near 30+ years lows around 1.2050. AUDUSD sink below 0.6000 for the first time since 2003.
Over the past 4 hours, Gold grew from $1,460 to $1,520, while maintaining the extreme range of intraday fluctuations.
Brent in the spot market fell below $ 30.50, but the last hours stabilized at $ 30.8.
All eyes are on the US markets.
#WaveAnalysis
#USDCAD broke multi-month resistance level 1.3750
Likely to rise to 1.4500
https://fxpro.news/market-snapshots/usdcad-wave-analysis-17-march-2019-20200317/
#USDCAD broke multi-month resistance level 1.3750
Likely to rise to 1.4500
https://fxpro.news/market-snapshots/usdcad-wave-analysis-17-march-2019-20200317/
#WaveAnalysis
#GBPUSD broke pivotal support level 1.2200
Further losses likely toward 1.1945
https://fxpro.news/market-snapshots/gbpusd-wave-analysis-17-march-2019-20200317/
#GBPUSD broke pivotal support level 1.2200
Further losses likely toward 1.1945
https://fxpro.news/market-snapshots/gbpusd-wave-analysis-17-march-2019-20200317/
Weekly poll results
At the start of the week, the majority of respondents at our various sites preferred Gold (30%). Still, it was behind EURUSD (34%). Stocks and Indices was named the most interesting this week by 12% of the survey participants. Decreased Crude Oil volatility in Oil lead to lower interest from our readers.
At the start of the week, the majority of respondents at our various sites preferred Gold (30%). Still, it was behind EURUSD (34%). Stocks and Indices was named the most interesting this week by 12% of the survey participants. Decreased Crude Oil volatility in Oil lead to lower interest from our readers.
By the end of this week from current 1.0970 level, EURUSD will move...
Anonymous Poll
44%
up
56%
down
In the last 24 hours, Bitcoin little changed, standing near $5300 (-0.6%). Market participants are in the process of analyzing what happened. It can hardly be called a typical situation when the daily trading volume in the Bitcoin network (according to the CMC data) reaches almost $80B. By comparison, at the historic price peak at $20K in December 2017, the daily trading volume reached $23B.
More than 160K BTC moved to exchanges on March 13, the most substantial one-day increase since November 2017. Moreover, 281K Bitcoins, which had been untouched for 30 days, returned into circulation on March 11. The market is now tormented by the question of whether it is time to buy digital currencies.
The Crypto Fear & Greed Index grew by 3 points over the past 24 hours, but still in the "extreme fear" zone. As for cryptocurrencies, stablecoins have become safe-heaven here. And this can be considered a considerable achievement of the digital market, as it is tough to find such an asset in the traditional one.
More than 160K BTC moved to exchanges on March 13, the most substantial one-day increase since November 2017. Moreover, 281K Bitcoins, which had been untouched for 30 days, returned into circulation on March 11. The market is now tormented by the question of whether it is time to buy digital currencies.
The Crypto Fear & Greed Index grew by 3 points over the past 24 hours, but still in the "extreme fear" zone. As for cryptocurrencies, stablecoins have become safe-heaven here. And this can be considered a considerable achievement of the digital market, as it is tough to find such an asset in the traditional one.
On the verge of the new Great Depression?
World markets remain extremely volatile, which was last observed by investors before the Great Depression. Of the six most significant one-day declines in the US market, three occurred in October-November 1929, two (probably two, so far) in March 2020, and one in Black Monday 1987.
Unfortunately, comparisons with the troubled 30s of the last century go beyond the fluctuations of stock indices. Previously, similarities were limited only to the rudiments of trade wars. However, now as more and more countries are going into self-isolation, it breaks the established logistic chains. While coronavirus is spreading across Europe and America, there is a higher chance that governments will turn to stimulate domestic demand that will accelerate deglobalization.
https://fxpro.news/daily-forex-outlook/on-the-verge-of-the-new-great-depression-20200318/
World markets remain extremely volatile, which was last observed by investors before the Great Depression. Of the six most significant one-day declines in the US market, three occurred in October-November 1929, two (probably two, so far) in March 2020, and one in Black Monday 1987.
Unfortunately, comparisons with the troubled 30s of the last century go beyond the fluctuations of stock indices. Previously, similarities were limited only to the rudiments of trade wars. However, now as more and more countries are going into self-isolation, it breaks the established logistic chains. While coronavirus is spreading across Europe and America, there is a higher chance that governments will turn to stimulate domestic demand that will accelerate deglobalization.
https://fxpro.news/daily-forex-outlook/on-the-verge-of-the-new-great-depression-20200318/
#WaveAnalysis
#AUDUSD broke multi-year support level 0.6000
Likely to fall to 0.5500
https://fxpro.news/market-snapshots/audusd-wave-analysis-18-march-2019-20200318/
#AUDUSD broke multi-year support level 0.6000
Likely to fall to 0.5500
https://fxpro.news/market-snapshots/audusd-wave-analysis-18-march-2019-20200318/
#WaveAnalysis
#NZDUSD broke round support level 0.6000
Likely to fall to 0.5800
https://fxpro.news/market-snapshots/nzdusd-wave-analysis-18-march-2019-20200318/
#NZDUSD broke round support level 0.6000
Likely to fall to 0.5800
https://fxpro.news/market-snapshots/nzdusd-wave-analysis-18-march-2019-20200318/
Almost unprecedented volatility remains in the stock markets: DJI's 6% growth following Tuesday's results alternates with a 5.5% failure at the start of trading on Wednesday. FTSE100 lost 4.1%, Dax - 4.9%.
The Fed is stepping up its support for credit markets in an attempt to avoid an abnormal craving for dollars. Despite this, DXY has been adding 1.6% for a second day to the March 2017 highs. Commodity currencies are undergoing a real devaluation against the dollar (see table). GBPUSD entered the freefall, losing 2.5% and trading at 1.1740 - the lows since 1985.
Gold today swung between $1485 and $1545. This is an abnormally wide range, but it is shrinking for the third day in a row.
Brent in the spot market fell below $ 27, the lowest since 2003, almost half price from March 3.
Despite large-scale stabilization measures, dollar thrust prevails in the markets - as it become the equivalent of cash for financial markets.
The Fed is stepping up its support for credit markets in an attempt to avoid an abnormal craving for dollars. Despite this, DXY has been adding 1.6% for a second day to the March 2017 highs. Commodity currencies are undergoing a real devaluation against the dollar (see table). GBPUSD entered the freefall, losing 2.5% and trading at 1.1740 - the lows since 1985.
Gold today swung between $1485 and $1545. This is an abnormally wide range, but it is shrinking for the third day in a row.
Brent in the spot market fell below $ 27, the lowest since 2003, almost half price from March 3.
Despite large-scale stabilization measures, dollar thrust prevails in the markets - as it become the equivalent of cash for financial markets.
EM Central Banks change their crisis playbooks, despite currencies devaluation
The central banks of developed countries continue to press the monetary easing pedal. And this is a traditional way for them to support the economy in the face of a looming recession.
What goes beyond tradition is the reaction of the central banks of emerging market countries.
https://fxpro.news/daily-forex-outlook/em-central-banks-change-their-crisis-playbooks-despite-currencies-devaluation-20200319/
The central banks of developed countries continue to press the monetary easing pedal. And this is a traditional way for them to support the economy in the face of a looming recession.
What goes beyond tradition is the reaction of the central banks of emerging market countries.
https://fxpro.news/daily-forex-outlook/em-central-banks-change-their-crisis-playbooks-despite-currencies-devaluation-20200319/
BoE increase QE by £200 billion to a total of £645 billion, and to reduce Bank Rate by 15 basis points to 0.1%.
https://www.bankofengland.co.uk/monetary-policy-summary-and-minutes/2020/monetary-policy-summary-for-the-special-monetary-policy-committee-meeting-on-19-march-2020
https://www.bankofengland.co.uk/monetary-policy-summary-and-minutes/2020/monetary-policy-summary-for-the-special-monetary-policy-committee-meeting-on-19-march-2020
Coronacrisis as an impulse for faster monetary system digitalization
Apart from the purely negative consequences, we can also observe quite exciting processes, like faster digitalization of our life. Remote work has long been gaining popularity around the world. Now it is a necessity. The Internet had a long time ago made it possible to work from home in many sectors of the economy. There is a growing expectation that against the backdrop of the coronavirus epidemic, many employers will finally choose this employment model. Remote work, online education, online medical consultations, even robot management in factories, ordering products at home – the economy is becoming more and more digital. Digital currencies in it look like a natural evolutionary stage.
https://fxpro.news/analysis-and-insight/coronacrisis-as-an-impulse-for-faster-monetary-system-digitalization-20200319/
Apart from the purely negative consequences, we can also observe quite exciting processes, like faster digitalization of our life. Remote work has long been gaining popularity around the world. Now it is a necessity. The Internet had a long time ago made it possible to work from home in many sectors of the economy. There is a growing expectation that against the backdrop of the coronavirus epidemic, many employers will finally choose this employment model. Remote work, online education, online medical consultations, even robot management in factories, ordering products at home – the economy is becoming more and more digital. Digital currencies in it look like a natural evolutionary stage.
https://fxpro.news/analysis-and-insight/coronacrisis-as-an-impulse-for-faster-monetary-system-digitalization-20200319/
#WaveAnalysis
#CADJPY reversed from key support level 74.70
Likely to rise to 76.50
https://fxpro.news/market-snapshots/cadjpy-wave-analysis-19-march-2019-20200319/
#CADJPY reversed from key support level 74.70
Likely to rise to 76.50
https://fxpro.news/market-snapshots/cadjpy-wave-analysis-19-march-2019-20200319/
#WaveAnalysis
#Chevron approached support level 50.00
Likely to fall to 40.00
https://fxpro.news/market-snapshots/chevron-wave-analysis-19-march-2019-20200319/
#Chevron approached support level 50.00
Likely to fall to 40.00
https://fxpro.news/market-snapshots/chevron-wave-analysis-19-march-2019-20200319/
High volatility remains on the stock markets, but on Thursday, the indices are moving in both directions, not only down. DJI adds 1.6%. FTSE100 added 0.8%, EuroStoxx50 - strengthens by 2.0%.
Today, there have been new policy easing from the Fed, the Bank of England, the Reserve Bank of Australia, Brazil, South Africa and many Asian Central Banks. Despite softening policies, some of the currencies of developing countries are adding, believing that these measures will support the economy in the future.
Gold is trading at $ 1,482, for the first time in 15 months, stably trading below the 200-day average.
Brent is adding $0.5 to Wednesday's close. WTI grew 8% today, supported by the announcement strategic reserve buying in the USA.
Despite the unstable nature of trading and the persistence of increased volatility, there are more and more "growth zones" - market sectors where purchases occur. For now, it may be bargain hunters, not long-term buyers.
Today, there have been new policy easing from the Fed, the Bank of England, the Reserve Bank of Australia, Brazil, South Africa and many Asian Central Banks. Despite softening policies, some of the currencies of developing countries are adding, believing that these measures will support the economy in the future.
Gold is trading at $ 1,482, for the first time in 15 months, stably trading below the 200-day average.
Brent is adding $0.5 to Wednesday's close. WTI grew 8% today, supported by the announcement strategic reserve buying in the USA.
Despite the unstable nature of trading and the persistence of increased volatility, there are more and more "growth zones" - market sectors where purchases occur. For now, it may be bargain hunters, not long-term buyers.