{"id":172370,"date":"2020-06-18T13:50:40","date_gmt":"2020-06-18T17:50:40","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=172370"},"modified":"2020-06-18T13:50:40","modified_gmt":"2020-06-18T17:50:40","slug":"quiet-range-trading-in-stocks-and-currencies","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2020\/06\/quiet-range-trading-in-stocks-and-currencies\/","title":{"rendered":"Quiet range trading in stocks and currencies"},"content":{"rendered":"
June 18, 2020<\/div>
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By Lukman Otunuga, Research Analyst, ForexTime<\/a><\/strong><\/p>\n

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Markets remain fairly subdued after the weekly jobless claims data from across the pond remained above the one million level for the thirteenth straight week. The resurgence in coronavirus cases continues to upend bets of a swift economic recovery with the US stock markets snapping a three-day winning streak and the dollar slightly firmer into last week\u2019s highs.<\/p>\n

Three European central banks have met today with the Bank of England disappointing many who wanted more than the \u00a3100bn injection to its QE programme. Although taking a more optimistic view on the economy compared to the May meeting, downside risks remain which has left sterling vulnerable.<\/p>\n

The Norges Bank raised its projections for growth and inflation while also lifting its rate path, and this has seen the Krone rally to one-week highs versus the euro. Meanwhile the Swiss Franc has barely budged, after the SNB pushed back against currency appreciation caused by the pandemic.<\/p>\n

Pound in danger<\/strong><\/p>\n

The initial spike in sterling with the hawkish Bank of England headlines evaporated fairly quickly and cable has broken through the 100 day MA support at 1.2520.<\/p>\n

Today\u2019s close will be significant if prices can hold below the 50% retracement of the December high and March low in the 1.2460 area. Resistance above now resides at 1.2550 followed by the 1.26 zone.<\/p>\n

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EUR following broad USD sentiment<\/strong><\/p>\n

Focus will be on tomorrow\u2019s EU leaders talks about the relief package as the \u2018Frugal Four\u2019 and others make their feelings known. The fiscal hawks prefer grants to loans, which may upset the current Euro \u2018bonhomie\u2019.<\/p>\n

The single currency is trading in a narrow range with trend signals not suggesting a strong move in either direction. The 1.12-1.14 range does have a slightly bearish bias so watch the 1.12 level as strong support.<\/p>\n

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Disclaimer: <\/strong>The content in this article comprises personal opinions and should not be construed as containing personal and\/or other investment advice and\/or an offer of and\/or solicitation for any transactions in financial instruments and\/or a guarantee and\/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.<\/em><\/p>\n<\/div>\n

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\"Forex-Time-Logo\"Article by ForexTime<\/a><\/span><\/strong><\/p>\n

ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 www.forextime.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

By Lukman Otunuga, Research Analyst, ForexTime Markets remain fairly subdued after the weekly jobless claims data from across the pond remained above the one million level for the thirteenth straight week. The resurgence in coronavirus cases continues to upend bets of a swift economic recovery with the US stock markets snapping a three-day winning streak […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-172370","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/172370","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=172370"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/172370\/revisions"}],"predecessor-version":[{"id":172380,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/172370\/revisions\/172380"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=172370"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=172370"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=172370"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}