InvestMacro

by JustForex

The US dollar continues to decline against a basket of major currencies. On Friday, the US dollar index (#DX) closed the trading session in the negative zone (-0.11%). Investors are monitoring the trade conflict between the United States and China. Analysts believe the parties are unlikely to reach a deal before the US presidential election in 2020. A continuous conflict may lead to a recession in the global economy.

Statements by Donald Trump that he was not ready to conclude a deal with China added fuel to the fire. The September round of negotiations is also in doubt now. Official Chinese media say that China is ready for war with the United States, and the threat of introducing additional duties does not scare it. It also became known that the White House had decided not to issue licenses yet to American companies to work with the Chinese giant Huawei.

On Friday, weak economic data from the UK were also published. Thus, the UK GDP (q/q) decreased by 0.2% in the second quarter. UK GDP (y/y) grew by 1.2% in the second quarter, while experts expected growth by 1.4%. Manufacturing production decreased by 0.2% in June instead of the forecasted decrease by 0.1%. The British pound reached two-year lows against the US dollar. Canada published weak statistics on the labor market.

The “black gold” prices are falling after growth the day before. Currently, futures for the WTI crude oil are testing the $53.75 per barrel mark.

Market Indicators

On Friday, the bearish sentiment was observed in the US stock markets: #SPY (-0.68%), #DIA (-0.36%), #QQQ (-0.94%).

The 10-year US government bonds yield won back part of the losses. At the moment, the indicator is at the level of 1.70-1.71%.

Today, the publication of important news is not expected.

by JustForex

By TheTechnicalTraders.com

The recent news that the US Fed, China and many of the global central banks are continuing to make efforts to lower rates and spark further consumer spending and economic activity is reminiscent of the late 2010~2013 global economic recovery efforts.  This was a time when the economy was much slower than current levels and when central banks were doing everything possible to attempt to raise consumer and business activity related to capital.

The world’s governments and banks operate on a very simple premise – transactions and economic activity must continue to operate within a fairly standard range of consistency in order for tax revenues and transactional fees to drive profits/income.  If extended periods of economic contraction persist, the capacity to function within standard operating parameters diminishes very quickly for these institutions.  A -5% to -10% contraction in asset values, transactional business, tax revenues and/or consumer activity over an extended period of time could result in a catastrophic set of events taking place.

All the credit issues and interest rate changes recently allowed us to profit from collapse in the stock market and rally in metals for a quick 24.16% profit last week.

The 2008-09 global credit market collapse

In the 2008-09 global credit market collapse, we witnessed an event that accelerated well beyond this -10% contraction very quickly.  We believe the reason the US Fed and Global Central Banks are engaging in stimulus that is designed to attempt to spark further lending, borrowing and increased consumer activities to prompt another round of expansion within the global economy.  We believe these efforts to support global asset prices and transactional processes and fees may end up supporting a process where many central banks and governments may end up paying consumers to borrow (negative interest rates) and pay consumers to continue engaging in economic activities.

Historically, central bank rates have never been this low in recent history and recent news that global central banks may continue to lower interest rates, ease monetary policy and introduce new stimulus programs suggests that concerns of a global market recession are real and that concerns the global consumer may contract economic activity and spending are real.  Yet, is the answer to this problem related to real lending rates or something else?

Countries where risks are excessively higher rates

It appears from our research that the only countries that are capable of operating at rates that are closer to normal are countries where risks are excessive and rates are higher because they need to attract investment into their debt/bonds.  Established markets appear to be operating in a mode where lending rates are not conducive to traditional economic mechanisms of spending, saving, investing and rational accounting fundamental.  The closest example we can use to attempt to explain this process is to state that we believe the credit markets never fully recovered after the 2008-09 credit market collapse and the new debt created from that event has, as of yet, failed to prompt any real economic expansion.

We believe the global economy is within a transitional process that will result in a longer-term economic expansion – yet we believe the process of achieving this expansion may require the destruction of certain aspects of the current economic system.  The chart below highlights the efforts from 2003 through early 2019 of global banks to stimulate and stabilize the global economy with every tool available.

As difficult as it is to see in this image, global central banks have engaged in various efforts, at various times, to enact a concerted effort to stimulated the global economy, then back away from stimulus to evaluate the individual processes of the global economy and its ability to support itself.  Each rise in QE activity is marked with new challenges and new efforts to spark economic activity.  We believe one of the main challenges of this policy is that QE efforts may have benefited the wrong segment of the global population at the time and further eroded the intended outcome of these efforts.

CONCLUDING THOUGHTS:

Throughout this incredible global effort to stimulate and stabilize the global economy, certain facets of the global economy have reacted positively while others have reacted negatively.  Obviously, the benefits and failures of this continuing effort to transition through the recent economic malaise have resulted in a number of various advancements and declines over the years.  It is rather interesting how capital has shifted into and out of various markets, segments, commodities and other forms in an effort to chase opportunity and returns while it appears the fundamental components of the global economy are still somewhat weak.

Next, in Part II of this article, we’ll take a look at some of the winners and losers over the past 10 to 20+ years as a series of global economic events continue to roil the global markets and we’ll discuss what we believe may become the final transitional phase of this global event.

MORE WARNING SIGNS AND TRADES TO BE AWARE OF: GOLD, SILVER, MINERS, AND S&P 500

In early June I posted a detailed video explaining in showing the bottoming formation and gold and where to spot the breakout level, I also talked about crude oil reaching it upside target after a double bottom, and I called short term top in the SP 500 index. This was one of my premarket videos for members it gives you a good taste of what you can expect each and every morning before the Opening Bell. Watch Video Here.

I then posted a detailed report talking about where the next bull and bear markets are and how to identify them. This report focused mainly on the SP 500 index and the gold miners index. My charts compared the 2008 market top and bear market along with the 2019 market prices today. See Comparison Charts Here.

On June 26^th I posted that silver was likely to pause for a week or two before it took another run up on June 26. This played out perfectly as well and silver is now head up to our first key price target of $17. See Silver Price Cycle and Analysis.

More recently on July 16^th, I warned that the next financial crisis (bear market) was scary close, possibly just a couple weeks away. The charts I posted will make you really start to worry. See Scary Bear Market Setup Charts.

BECOME A TECHNICAL TRADER
AND PROFIT LIKE A PRO!

FREE GOLD OR SILVER WITH MEMBERSHIP!

Kill two birds with one stone and subscribe for two years to get your FREE PRECIOUS METAL and get enough trades to profit through the next metals bull market and financial crisis!

Chris Vermeulen – TheTechnicalTraders.com

By TheTechnicalTraders.com

Copper is a fairly strong measure of the strength and capacity of the global economy and global manufacturing.  Right now, Copper has been under quite a bit of pricing pressure and has fallen from levels above $4.50 (near 2011) to levels near $2.55.  Most recently, Copper has rotated higher to levels near $3.25 after President Trump was elected on November 2016, yet has recently fallen as trade and global economic concerns become more intense.

This should be viewed as a strong warning sign that institutional traders and investors are very concerned that the future economic and manufacturing activities throughout the world are continuing to contract.  Copper is used in various forms throughout all types of manufacturing and consumer products, such as computers, building & infrastructure, electronics, chemical & medical use as well as automobile and aircraft manufacturing.  It makes sense that copper prices would be a leading indicator for much of the global economy and relate to economic output and capacity.

Copper Monthly Long Term Chart

As the US/China trade war continues and we enter the final stretch of the US Presidential election cycle, we believe that copper will breakdown below the $2.50 level and attempt to identify past support levels below slightly $1.50 over the next 6 to 12+ months.  We believe the next big move in commodities will be a contraction move where certain commodities (mostly manufacturing & industrial related) will collapse as the world focuses on two of the most important events that are about to conclude in 16+ months: the US Presidential elections and the Global Trade/Economic issues.

Copper Monthly Pennant Pattern

The breakdown in commodity prices as related to slower expectations and global economic demand may see a dramatic downside move or may see a more measured “slide” towards the $1.45 level (much like what we saw happen between 2013 and 2016).  Overall, though, we believe the downside price move outweighs the upside at this time – unless some type of dramatic resolution to the US/China trade issues and global economic slowdown are ended.

We’ve also highlighted an extended long-term Pennant/Flag formation in Copper that should provide further insight as to the range of price rotation before the bigger breakdown in price occurs.  This pennant formation will likely contain the immediate price range/rotation over the next few months to between $2.30 to $3.00.  Should price break below the $2.25 level within the next 2~6+ months, then we would expect an immediate downside move towards the $1.50 level.

CONCLUDING THOUGHTS:

Following the core commodities as related to global economic and manufacturing demand and capacity are key elements to understanding how traders and investors are viewing the future expectations for the global markets.  Commodities like Copper, Gold, Silver, Oil, Natural Gas and others can often be leading indicators related to global economic output and expectations.  We urge all traders to prepare for a broader market contraction event over the next 6 to 12+ months based on our research that suggests Copper is setting up for a breakdown move.

These global market price swings in 2019 and 2020 are going to be huge events that will present incredible opportunities for skilled technical traders.  You don’t want to miss out on the opportunity these types of big moves present. In fact, last week we closed out 24.16% in profits for the first week of August and you can see the charts here.

Following the core commodities as related to global economic and manufacturing demand and capacity are key elements to understanding how traders and investors are viewing the future expectations for the global markets.  Commodities like Copper, Gold, Silver, Oil, Natural Gas, and others can often be leading indicators related to global economic output and expectations.  We urge all traders to prepare for a broader market contraction event over the next 6 to 12+ months based on our research that suggests Copper is setting up for a breakdown move.

These global market price swings in 2019 and 2020 are going to be huge events that will present incredible opportunities for skilled technical traders.  You don’t want to miss out on the opportunity these types of big moves present.

Recently warning that the next financial crisis (bear market) was scary close, possibly just a couple weeks away. The charts I posted will make you really start to worry. See Scary Bear Market Setup Charts.

I then posted a detailed report talking about where the next bull and bear markets are and how to identify them. This report focused mainly on the SP 500 index and the gold miners index. My charts compared the 2008 market top and bear market along with the 2019 market prices today. See Comparison Charts Here.

On June 26^th I posted that silver was likely to pause for a week or two before it took another run up on June 26. This played out perfectly as well and silver is now head up to our first key price target of $17. See Silver Price Cycle and Analysis.

BECOME A TECHNICAL TRADER
AND PROFIT LIKE A PRO!

FREE GOLD OR SILVER WITH MEMBERSHIP!

Kill two birds with one stone and subscribe for two years to get your FREE PRECIOUS METAL and get enough trades to profit through the next metals bull market and financial crisis!

Chris Vermeulen – TheTechnicalTraders.com

By Evan Lucas, FPMarkets.com

FX has been rocked by the ramp up in action of the US-China trade war.

The fact the PBoC is now willing to use the RMB as a mechanism to counter tariffs is a new dimension for markets. It also shows that the FX market has now become a ‘battle ground’ and thus risk and commodity currencies will be impacted as the battle ramps up. i.e. AUD, NZD, CAD and EUR.

Thus, we need to quantify how big a move this was from the PBoC, what USDCNY could look like going forward and what this means for floating FX more broadly.

So how big was it?

Evaluating the initial fix (last Monday) above 7 clearly caught the market off guard. It was one the hardest devaluations from the PBoC since the fix was brought in back in 1994. It also signaled that Beijing is now ready to go toe-to-toe with Washington on trade issues.

It’s the preceding fixings that should really catch your attention, here is why:

• Tuesday saw a 450pip depreciation in USDCNY – it was taken as a ‘positive’ as it was more ‘conservative’ than expected. However, that 450bps drop was the 8th largest single day move since 1994, which to me signals this is structural. Now, if we couple the initial fix devaluation and then the next 3 day only 4 other times since 1994 has the PBoC gone harder. August 2015 which saw an 8% decline in CNY (6.1 to 6.8). July 2018 which lead to a 10% depreciation of 2 months, June 2016 where CNY was weakened by 8% (6.5 to 6.95) the final time was January 2017 when the fix was controlled by the China Foreign Exchange Trade System without countermeasures.

Conclusion from the moves last week – China is about to undertake a structural devaluation of the RMB.

So how could this proceed?

• The action by the PBoC is clearly in response to the new tariffs coming on September 1. Thus if we look back over the past 18 months since the US-China war begun China has done this before which begun in June-July last year. Over a 4-month period the PBoC move the RMB down 10% in a slow and steady, almost stealth like policy shift seeing RM hitting 6.9 from 6.3 in April. Interestingly it didn’t affect market stability but was fast enough not to invite speculation. One should expect this again

So where could USDCNY end up?

• Using history again as a uide and the ranges we have seen in the past of 8% to 10% depreciation levels it easy to make a case for the pair to be in a range of between 7.4 to 7.5 come December. Now that is speculative and this idea would change if the trade war for example was to dissipate. But it’s a reasonable assessment judging on previous moves.

Finally positioning for USDCNY movement

• First and foremost, have 11.15am (AEST) on alarm, this is when the PBoC fixes the RMB, then position from there in either a risk off or risk on set up depending on the fix.
• Second is watch the Washington response – “Currency War”, “manipulation”, “unfair” etc. etc. from the President and his other hard-line China hawks will likely push the USD around a bit but by and large it’s pretty empty. The bigger risk is if there is USD side intervention. Now this is unlikely and hard work considering the size of the USD market. But, this President is unconventional so it not outside the realms of possibilities. This is a risk so get your stops out.
• Asian focused FX are the pairs in play, thus to position for moves in RMB use AUD, NZD on the short side. JPY on the long.

Final point – volatility is here thus evaluate your risk as gapping and whip events are very likely.

By Evan Lucas, FPMarkets.com

By TheTechnicalTraders.com

In the first part of this multi-part research post, we highlighted what we are calling a Crazy Ivan price event (borrowed from the movie Red October – (source).  The one thing we want you to take away from this article is that August 19, 2019, should be a major price inflection date where the price is very likely to begin a new downside price trend in the US and global stock markets.  This will likely push commodity prices to extremes and may very well push Gold and Silver into the stratosphere as fear and greed take hold across the planet.

Part I we highlighted how the VIX and the NQ are set up to react to this Crazy Ivan pricing event and how we believe many traders/investors are simply unaware of the potential for this type of large reversion price move.  We want to be clear, we believe the US markets will be somewhat immune from extended downside risks.  This does not mean there won’t be a downside price move and this does not mean that the markets won’t experience the Crazy Ivan reversion trend.  It will likely happen just as we are expecting, yet we believe the US stock markets will quickly recover from this move – like it has done many times in the past.

Our research that highlighted this August 19, 2019 date and the potential for what we are calling the Crazy Ivan price move is rooted in our super-cycle analysis, predictive modeling tools, and other specialized proprietary price modeling solutions and utilities.  We believe we’ve identified a key inflection point/date that will start what we are calling a “breakdown move” which will lead to the Crazy Ivan event throughout the globe.  As we stated in the first part of this article – we don’t know the exact composition of this event yet, but we do know that is should begin to happen near or after August 19, 2019.

Now, let’s get busy digging into the Gold and Silver charts for all our followers.

Gold 2-Week Chart Interval

This first Gold 2-Week chart highlights our Fibonacci price modeling tool and helps to show us where the price is targeting for the initial upside move from the April 21~24 Momentum Base pattern that we called back in January 2019.  We believe the current breakout upside price move will initially target the  $1597 level before briefly stalling, then rallying further to target the $1785 level or higher.

We believe the Crazy Ivan event could push Gold much higher than our projected levels under certain circumstances:

A. The US Dollar weakens throughout the initial process of the Crazy Ivan event

B.  Cryptos collapse as governments clamp down on rogue exchanges/currencies

C.  Massive credit and debt issues arise in China, Asia or the EU that threaten future economic output and operations

D.  Some type of crisis event unfolds where global investors believe war or conflict is imminent. (think Hong Kong, North Korea or somewhere in that general vicinity).

Without these additional impetuses in the metals market, we believe the price will follow our Crazy Ivan expectations (YELLOW LINES, below) fairly closely over the next 30 to 60+ days.

Silver Daily Chart Interval

Silver, on the other hand, is set up to break substantially higher based on the upside move we expect in Gold and the possibility that the Gold/Silver ratio will continue to contract to lower levels.  Recently, the Gold/Silver ratio fell from approximately 93 to 86.  This move relates the total number of ounces of Silver one must buy to equal the price of one ounce of Gold.  Currently, this level is back up to 89.5 as Gold has rallied faster than Silver has rallied.

But what happens when traders catch onto the fact that Gold and Silver will rally as this Crazy Ivan event takes place and that Silver is the true undervalued metal across the planet?  At the peak of Gold/Silver prices near April 2011, the Gold/Silver ratio was resting near 32 (yes you read that properly).  What would that look like on the Silver chart, below, if Gold continued to rally to levels above $2000?  It is really simple to find out.

$2000 (Gold per ounce) / 32 = $62.50 per ounce for Silver

What if Gold rallied a full 100% Fibonacci measured move from the previous 1999-2011 rally?  That peak level would be $2700 in Gold and the calculation is still simple.

$2700 (estimate Gold peak) / 32 = $84.375 per ounce for Silver.

Could it happen like this?  Yes, in theory, and reality it really could happen that Gold rallies to a level that equals a full 100% Fibonacci price extension and the ratio level falls to levels near 32.  If that were to happen, then these calculations would be accurate.

This is why we believe the Crazy Ivan event will become the catalyst for some really incredible trading opportunities and big price swings over the next 6 to 13+ months.

CONCLUDING THOUGHTS:

Our $21 upside price target in Silver is really muted compared to our long term price projections.  Yet everything hinges on this August 19, 2019 breakdown cycle date and what happens after that.  Our research suggests this current downside price move may have been a volatility explosion related to the lack of liquidity in the global markets and to hint that the markets are capable of being far more irrational for far longer than anyone expects.

We are only 9 days into August and we have already closed out 24.16% in gains from the falling SP500 using SDS, and the pop in gold using UGLD, and from the oversold bounce and rally in silver miners SIL.

We urge all of our followers to pay attention to our research, consider your options very closely and prepare for this next move by pulling some of your active portfolio away from risks and into more protective measures.  This Crazy Ivan event is just 10 days away and we really want to urge all of our followers to not under-estimate this event cycle.

WARNING SIGNS ABOUT GOLD, SILVER, MINERS, AND S&P 500

In early June I posted a detailed video explaining in showing the bottoming formation and gold and where to spot the breakout level, I also talked about crude oil reaching it upside target after a double bottom, and I called short term top in the SP 500 index. This was one of my premarket videos for members it gives you a good taste of what you can expect each and every morning before the Opening Bell. Watch Video Here.

I then posted a detailed report talking about where the next bull and bear markets are and how to identify them. This report focused mainly on the SP 500 index and the gold miners index. My charts compared the 2008 market top and bear market along with the 2019 market prices today. See Comparison Charts Here.

On June 26^th I posted that silver was likely to pause for a week or two before it took another run up on June 26. This played out perfectly as well and silver is now head up to our first key price target of $17. See Silver Price Cycle and Analysis.

More recently on July 16^th, I warned that the next financial crisis (bear market) was scary close, possibly just a couple weeks away. The charts I posted will make you really start to worry. See Scary Bear Market Setup Charts.

FREE GOLD OR SILVER WITH MEMBERSHIP!

Become a technical trader and profit like a pro!
Click Here

Chris Vermeulen

Article By RoboForex.com

EURUSD, “Euro vs US Dollar”

EURUSD is moving upwards. Possibly, today the pair may be corrected to reach 1.1200 and then start another decline to break 1.1160. Later, the market may continue trading downwards with the short-term target at 1.1127.

GBPUSD, “Great Britain Pound vs US Dollar”

GBPUSD has completed another descending structure at 1.2100 along with the correction at 1.2155; right now, it is consolidating below the latter level. Possibly, the pair may form one more descending structure towards 1.2080 and then resume trading upwards with the target at 1.2200.

USDCHF, “US Dollar vs Swiss Franc”

USDCHF has finished the ascending impulse at 0.9785; right now, it is being corrected. Later, the market may resume moving upwards to reach 0.9770. In fact, the pair is forming Triangle pattern. According to the main scenario, the price is expected to break the pattern to the upside and grow with the target at 0.9890.

USDJPY, “US Dollar vs Japanese Yen”

USDJPY is consolidating around 106.27. Today, the pair may grow to break 106.30 and then continue moving upwards with the target at 107.12.

AUDUSD, “Australian Dollar vs US Dollar”

AUDUSD is moving upwards. Possibly, the pair may reach 0.6830 and then form a new descending structure towards 0.6767. After that, the instrument may start another growth with the target at 0.6898.

USDRUB, “US Dollar vs Russian Ruble”

USDRUB is still consolidating below 65.32. Possibly, today the pair may fall to break 64.94 and then continue trading downwards to reach 63.93. However, if the price breaks 65.35 to the upside, the instrument may resume growing with the target at 65.80.

XAUUSD, “Gold vs US Dollar”

Gold is moving upwards. Possibly, the pair may grow to reach 1516.30 (an alternative scenario). The main scenario implies that the price may start a new decline with the target at 1486.60.

BRENT

Brent has completed the ascending impulse along with the correction towards 56.80. Possibly, the pair may fall to reach 56.65 and then grow to break 58.44. After that, the instrument may continue trading upwards with the first target at 61.00.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

By George Prior

A growing number of UK and global investors will move their assets overseas as Britain stumbles towards an economic abyss, affirms the boss of one of the world’s largest independent financial advisory organizations.

The observation from Nigel Green, founder and chief executive of deVere Group, which has $12bn under advisement, comes as it is revealed that the UK economy shrank in the second quarter – the first time in seven years.

Mr Green notes: “Sterling has taken another pounding after the UK’s economy was shown to have contracted in the second quarter, adding to the economic woes on top of no-deal Brexit concerns.

“The pound has fallen more than 4.5 per cent against the dollar in July and August over fears Boris Johnson’s government is pushing the country towards a no-deal Brexit –which most economists think would be economically damaging.

“Should the UK leave with no-deal, the pound is likely to remain weak for several years until the country and the EU readjusts.”

He continues: “There is growing speculation too that there will be a general election in the autumn and this will add to the uncertainty for the pound and Britain’s economy.

“The situation will get even more serious should a Jeremy Corbyn-led Labour government win that election.  His high tax and low-profit policies and anti-business rhetoric would deliver a hammer blow to the already floundering economy.”

Mr Green goes on to say: “Depressingly, Britain appears to be stumbling towards an economic abyss.

“UK and global investors will be becoming increasing nervous of this deteriorating situation.  They will, inevitably and quite sensibly be looking to grow and safeguard their wealth by moving assets overseas through various established international financial solutions.

“The pace of this trend is likely to increase over the next few months as the geopolitical issues intensify.”

About:

deVere Group is one of the world’s largest independent advisors of specialist global financial solutions to international, local mass affluent, and high-net-worth clients.  It has a network of more than 70 offices across the world, over 80,000 clients and $12bn under advisement.

Article By RoboForex.com

BTCUSD, “Bitcoin vs US Dollar”

As we can see in the daily chart, after reaching 38.2% fibo, BTCUSD is forming a new rising impulse. If the price returns to 23.6% fibo, it may continue growing to reach the high at 13857.20. The next descending wave will move towards 50.0% and 61.8% fibo at 8600.00 and 7350.00 respectively.

In the H4 chart, the pair is being corrected to the downside and has already reached 23.6% fibo. The next targets may be 38.2% and 50.0% fibo at 11097.00 and 10715.00 respectively. The resistance is the high at 12317.40.

ETHUSD, “Ethereum vs. US Dollar”

As we can see in the daily chart, ETHUSD is still being corrected between 50.0% and 61.8% fibo. After completing the correction, the pair may fall towards 76.0% fibo at 163.20. The resistance is 38.2% fibo at 262.90.

The H4 chart shows more detailed structure of the current correction.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

by JustForex

The EUR/USD currency pair

Technical indicators of the currency pair:

• Prev Open: 1.11984
• Open: 1.11795
• % chg. over the last day: -0.12
• Day’s range: 1.11782 – 1.11981
• 52 wk range: 1.1034 – 1.1817

The EUR/USD currency pair continues to consolidate. There is no defined trend. Investors are still expecting additional drivers. At the moment, the local support and resistance levels are 1.11800 and 1.12150. The single currency has the potential for further recovery. Today we expect important economic reports from the USA. We recommend opening from key levels.

At 15:30 (GMT+3:00), the manufacturer’s price index in the United States will be published.

The indicators do not give accurate signals, the price crossed 50 MA and 100 MA.

The MACD histogram is close to 0.

The Stochastic Oscillator has started to leave the overbought zone, the %K line is below the %D line, which indicates a bearish sentiment.

Trading recommendations

• Support levels: 1.11800, 1.11600, 1.11150
• Resistance levels: 1.12150, 1.12450, 1.12800

If the price consolidates above 1.12150, expect further growth toward 1.12450-1.12600.

Alternatively, the quotes could decrease toward 1.11500-1.11400.

The GBP/USD currency pair

Technical indicators of the currency pair:

• Prev Open: 1.21678
• Open: 1.21400
• % chg. over the last day: -0.23
• Day’s range: 1.21369 – 1.21749
• 52 wk range: 1.2080 – 1.3385

The GBP/USD currency pair continues to trade in a protracted flat. There is no defined trend. GBP tests the local support and resistance levels: 1.21300 and 1.21850. Market participants are waiting for new information on the Brexit issue. In the near future, technical correction of the trading instrument is highly possible. You should open positions from the key levels.

The Economic News Feed for 09.08.2019 is not planned.

• – Economic Event (GB) – 00:00 (GMT+3:00);
• – Economic Event (GB) – 00:00 (GMT+3:00);
• – Economic Event (GB) – 00:00 (GMT+3:00);

The indicators do not give accurate signals, the price crossed 50 MA and 100 MA.

The MACD histogram is close to 0.

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates a bearish sentiment.

Trading recommendations

• Support levels: 1.21300, 1.20850, 1.20500
• Resistance levels: 1.21850, 1.22500, 1.23000

If the price consolidates above 1.21850, expect further recovery toward 1.22300-1.22500.

Alternatively, the price could reduce toward 1.20900-1.20700.

The USD/CAD currency pair

Technical indicators of the currency pair:

• Prev Open: 1.32756
• Open: 1.33038
• % chg. over the last day: +0.26
• Day’s range: 1.32720 – 1.33140
• 52 wk range: 1.2727 – 1.3664

The USD/CAD currency pair stabilized after a rather protracted rally. CAD is currently consolidating. The local support and resistance levels are 1.32650 and 1.33100. Support for the Canadian dollar is enforced by a positive report on business activity from Ivey. We recommend paying attention to the dynamics of oil quotes. Positions must be opened from key levels.

The Economic News Feed for 09.08.2019 is calm.

Indicators do not give accurate signals: the price is consolidating near 50 MA.

The MACD histogram is located close to 0.

Stochastic Oscillator is near the oversold zone, the %K line crossed the %D line. There are no signals at the moment.

Trading recommendations

• Support levels: 1.32650, 1.32400, 1.32000
• Resistance levels: 1.33100, 1.33400

If the price consolidates above 1.33100, expect further growth 1.33400-1.33600.

Alternatively, the price could drop toward 1.32400-1.32100.

The USD/JPY currency pair

Technical indicators of the currency pair:

• Prev Open: 106.460
• Open: 106.260
• % chg. over the last day: -0.35
• Day’s range: 106.005 – 106.299
• 52 wk range: 104.97 – 114.56

The USD/JPY currency pair is still in sideways movement. Unidirectional trends are not observed. At the moment, the trading instrument is consolidating near the round level of 106,000. The 106.550 mark is a key resistance. USD/JPY quotes have the potential for correction after a significant collapse since the beginning of the current month. We recommend that you pay attention to the dynamics of yield on the US Treasury bonds. Positions must be opened from key levels.

The Economic News Feed for 09.08.2019 is calm.

Indicators do not provide accurate signals: the price crossed 50 MA and 100 MA.

The MACD histogram is close to 0.

The Stochastic Oscillator is in the neutral zone, the %K line is below the %D line, which indicates a bearish sentiment.

Trading recommendations

• Support levels: 106.000, 105.550
• Resistance levels: 106.550, 107.100, 107.500

If the price consolidates above 106.550, expect a correction toward 107.000.

Alternatively, the price could decrease toward 105.600-105.400.

by JustForex

By Admiral Markets

Source: Economic Events August 9, 2019 – Admiral Markets’ Forex Calendar

The next wave of escalation in the trade dispute between the US and China resulted in a squeeze higher in Gold reaching 1,500 USD.

After the somewhat “hawkish” comments from Fed chairman Powell last week on Wednesday (delivering “only” a 25 basis point rate cut and making further easing steps mainly dependent on global economic developments), the newest attacks from US president Trump via Twitter, labelling China a currency manipulator after China allowed the Yuan Renminbi to weaken past the psychologically important line of 7.00 per USD, were the main driver for the precious metal higher.

Technically, the mode in Gold seems a little extended. That said from a risk-reward perspective, a pullback against 1,440/450 USD seems to be an attractive long-trigger, especially since from Monday August 12 through September 5, a bullish seasonal window opens in Gold.

On a daily time frame the mode in Gold can be considered bullish as long as we trade above 1,380 USD:

Source: Admiral Markets MT5 with MT5-SE Add-on Gold Daily chart (between May 10, 2018, to August 8, 2019). Accessed: August 8, 2019, at 10:00pm GMT – Please note: Past performance is not a reliable indicator of future results, or future performance.

In 2014, the value of Gold fell by 1.7%, in 2015, it fell by 10.4%, in 2016, it increased by 8.1%, in 2017, it increased by 13.1%, in 2018, it fell by 1.6%, meaning that after five years, it was up by 6.4%.

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