Market Outlook Articles

When we look at the price action in the forex market, we see that trading is likely to remain thin until next week. Investors expect little market action into the year-end holidays as many market participants have already closed their books for this year. Today we don’t expect high volatility…

Today we see that the forex market is rather calm and flat due to holidays and low liquidity. Investors have been bullish on USD lately as they think that the U.S. economy is improving more than expected. Increasing consumer optimism is also positive for the financial markets. Economists think that…

EUR/USD briefly rallied on hopes the ECB’s ultra-cheap funding tender would tempt banks to buy Italian and Spanish debt and pull yields lower. The tender eased concerns about an immediate credit crunch, but it also discouraged investors from lending to euro zone banks because of their large exposure to sovereign…

When we look at the price action in the forex market, we see that trading is thin due to approaching year end and cautious stance of investors. Investors remain doubtful about whether European leaders can end the debt crisis any time soon. Another factor which is souring the sentiment is…

Potential ratings downgrades and uncertainty in the eurozone have been dragging the euro lower. Since EU leaders disappointed investors and as a result, the euro lost its credibility. The recent price action in the forex market shows that investors lost confidence in EU politicians ability to end the ongoing debt…

EUR Sinks On Possible Mass Downgrade of Eurozone Countries Increasing concerns over slowing global growth and worsening European debt crisis are pressuring the forex market. EUR/USD fell sharply after German Chancellor Angela Merkel rejected to raise upper limits of the European Stability Mechanism (ESM). In addition, possible sovereign debt downgrades…

Yet another crucial summit and European Union leaders face major challenges to save the eurozone. EUR/USD have been sinking since yesterday after the European Central Bank (ECB) President Mario Draghi cooled market expectations about the prospect of an acceleration in ECB bond purchasing. The central bank also cut interest rates…

EUR/USD is trying to stay over 1.3400 during the Asian session on hopes the European leaders will make comprehensive and permanent decisions to end ongoing debt crisis and protect eurozone members from risks of contagion. Though, forex investors are cautious ahead of key events in Europe. Another factor affecting EUR…

EUR/USD is rising slowly as forex traders bet European leaders would take strong and solid steps this week to solve the region’s debt problems. Analysts think the downside is limited for now but investors find it difficult to trade while there is uncertainty in the market. Some investors still think…

AUD fell sharply against all of its major counterparts after the Reserve Bank of Australia decided to lower the cash rate by 25 basis points to 4.25%.

We are approaching year-end and thin market condition may result in high volatility. When we look at monthly charts we see that this year EUR/USD climbed up to 1.4939 and later it went all the way back to where it started. For the long term, EUR/USD will probably continue to…

EUR is getting weaker each passing day. The markets have witnessed various announcements, summits and meetings in this year. EUR/USD climbed on these hope injection events but each move became shorter and as we can see investors are losing their confidence. This week we expect the trading range will be…

8:30 am Feb Durable Goods Orders (exp 1.2%, -10.0%) 10:00 am US Feb New Home Sales (exp 1.2 mln, prev 1.233 mln) Traders brace for the February release of US new home sales, following the unexpected 5.1% increase in existing home sales, which resulted from milder than usual weather allowing…

4:30 am UK Minutes of Bank of England Interest Rate Decision (exp 8-1, prev 8-1%) 5:00 am E-12 Jan Trade Balance (exp EUR -1.4 bln, prev EUR -0.9 bln) 6:50 pm JPN Feb Trade Balance (exp Yen 1.62 bln, prev Yen 351 bln) Yen watchers are staying alert to the…

This morning’s FX focus should further shift away from Japan and into the Americas with a batch of key releases from the US and Canada.

At 2:40 AM France Q4 GDP q/q (exp 0.2%, prev 0.7%) At 5:00 AM Eurozone December Trade Balance (exp -2.0 bln euros, prev -2.3 bln euros). At 8:30 AM Canada December retail sales ex autos (exp 0.3%, prev 0.1%) Canada December retail sales (exp 0.1%, prev 1.1%) At 10:00 AM…