Tag Archives: commodities

EUR/USD and GBP/USD on May 29 – results of the analysis of the COT report (Commitments of Traders)

EUR / USD and GBP / USD on May 29 – technical analysis recommendations
EUR / USD
Bulls, having the support of the major players in the COT report last May 19, 2020, lived up to expectations and were the leaders of the movement throughout the current week, allowing bears only minor corrections and retests. Now, the most important action is to optimistically close the week and the month of May, forming the shortest upper shadow corresponding to the candles. The technical picture of the euro at the moment is the test of the most important resistance area 1.1067-88 (the upper border of the daily cloud + weekly Kijun and Senkou Span A + monthly Tenkan), to which the pair may form good prerequisites of a breakout, but the result of the interaction will be formed later. Such will determine the further prospects of the situation.
The support for the central pivot level worked out to maintain a bullish mood in the lower time frames yesterday. Thus, the upward trend remains active today, supported by all analyzed technical analysis tools. The resistances of the classic pivot levels on H1 are now located at 1.1116 – 1.1155 – 1.1217,…

Dutch Retail Sales Drop In April

Dutch retail sales dropped in April, as demand slumped amid a lockdown in the country to slow the spread of the coronavirus, or Covid-19, figures from the Central Bureau of Statistics showed on Friday. Retail sales declined 1.5 percent year-on-year in April, after a 3.3 percent increase in March. The measures against the spread of coronavirus disease had a diverse effect on the non-food sector, the agency said. Sales of non-food decreased a record 15.8 percent in April, while sales in food stores rose 6.1 percent. Clothing and footwear sales fell at an accelerated pace. Do-it-yourself segment sales logged a record gain in April, in line with the March trend. Online sales gained 62.4 percent compared to the same month last year. The retail sales volume decreased 3.5 percent in April. The material has been provided by InstaForex Company – www.instaforex.com…

Trading plan for May 29, 2020: EUR/USD – take profit!; Coronavirus updates from around the world.

Coronavirus updates from around the world, as of May 29: the second wave is on the decline, but a third is possible.In the US, the number of new cases jumped to 22 thousand, and the number of deaths arose to more than 1,000 per day. Regions recorded these increases, with New York contributing about 10% of the cases.A record-increase was also observed in Brazil, with new cases jumping to 24 thousand. Developed countries are suggested to help Brazil with doctors and funds.Meanwhile, India will be declared as the new center of the pandemic, if the situation in the country continues to deteriorate (if the growth of new cases accelerate even further).Although there is a decline in deaths around the world (deaths in the US have decreased), new cases are still at a high level (particularly in Brazil and India).In Russia, the situation in Moscow has improved, but the statistics in other regions seem to have increased. In total, Russia records 387 thousand coronavirus cases, of which 224 thousand are “active”.EUR/USD – take profit! Open buy positions from 1.0855. At the time of this writing, the quotes are at 1.1100, so wait for the pair to move about 245 pips before closing….

Malaysia Producer Prices Decline At Faster Pace In April

Malaysia’s producer prices declined at a faster rate in April, figures from the Department of Statistics showed on Friday. The producer price index fell 5.1 percent year-on-year in April, following a 1.9 percent decrease in March. Prices fell for the second straight month. The statistical office said this was the lowest rate of change recorded since November 2015. Among sectors, prices of mining declined 58.3 percent annually in April and water supply decreased 1.0 percent. Meanwhile, prices for agriculture, forestry and fishing grew 8.7 percent. Prices for electricity and gas supply, and manufacturing increased 0.2 percent and 0.1 percent, respectively. On a month-on-month basis, producer prices declined 2.7 percent in April, following a 3.0 percent fall in the preceding month. The material has been provided by InstaForex Company – www.instaforex.com…

Hong Kong issue: the denouement is yet to come

The USD index continues to decline. The prolonged silence of Donald Trump regarding the recent events in China is affecting the US dollar negatively, so particular caution should be exercised today with regards to trading decisions. Significant changes could occur at the forex market at the end of the trading week.The Chinese parliament has ratified the extension of the already existing national security law in Hong Kong, in which the National People’s Congress will vote for its approval, presumably in June, and then the elite party will approve it, therefore most likely coming into force no earlier than August or September. Given the current situation in China, the Beijing initiative will undergo the necessary legislative processes, with only the procedural issues remaining. Much has already been said about the consequences of this law, as it “opens the gates” of Hong Kong to the Chinese security forces, greatly enhancing the influence of mainland China on the former British colony.In the forex market, the reaction of the US to the bill played a huge role on the dynamics of the rates. Although at the time of this writing, they have not been fully affected yet, the USD index has already shown small reactions,…

European Economics Preview: Eurozone Flash Inflation Data Due

Flash consumer prices from euro area and retail sales from Germany are due on Friday, headlining a busy day for the European economic news. At 2.00 am ET, Destatis is scheduled to issue Germany’s retail sales and import price data. Economists forecast retail sales to fall 14.3 percent on year in April, much bigger than the 2.8 percent drop reported in March. In the meantime, UK Nationwide house price data is due. House prices are forecast to rise 2.8 percent annually in May after climbing 3.7 percent in April. At 2.45 am ET, flash consumer prices, final GDP, producer prices and household consumption reports are due from France. Consumer price inflation is seen unchanged at 0.3 percent in May. At 3.00 am ET, GDP figures are due from Austria, Hungary and Turkey. Turkey’s economy is expected to grow 5.4 percent on year in the first quarter, slower than the 6 percent expansion seen in the fourth quarter of 2019. Half an hour later, Statistics Sweden releases GDP, foreign trade and household lending data. The economy is forecast to grow 2.2 percent on a yearly basis in the first quarter. At 4.00 am ET, Italy’s Istat releases revised GDP data…

Elliott wave analysis of EUR/JPY for May 29, 2020

EUR/JPY has rallied to a high of 119.39 or just above our ideal target at 119.31. This has completed wave iii/ and we should now see a correction in wave iv/. As wave ii/ was a simple deep zig-zag correction, we should expect a complex flat correction, that doesn’t correct more than 38.2% of wave iii/. Then the pair may try to hit 117.84. Wave v/ may climb to at least 120.30 and possibly even closer to 121.16 where we see solid resistance. In the short-term, a break below minor support at 118.45 will confirm that wave iii/ has peaked and wave iv/ is in motion. R3: 120.29R2: 119.65R1: 119.39Pivot: 118.80S1: 118.45S2: 118.20S3: 117.84Trading recommendation: We took profit of 75% of our long EUR position at 119.20 enjoying a nice profit of 355 pips. We will re-buy EUR at 118.00 The material has been provided by InstaForex Company – www.instaforex.com…

*South Korea Industrial Production -6.0% On Month, -4.5% On Year In April

South Korea Industrial Production -6.0% On Month, -4.5% On Year In April The material has been provided by InstaForex Company – www.instaforex.com…

Japan Data To Be Released On Friday

Japan is scheduled to release a batch of data on Friday, headlining a busy day for Asia-Pacific economic activity. On tap are April figures for unemployment, industrial production, retail sales and housing starts, plus May figures for consumer confidence and Tokyo inflation. The jobless rate is expected to rise to 2.7 percent from 2.5 percent in March. Industrial production is tipped to fall 5.1 percent on month and 7.3 percent on year after sliding 3.7 percent on month and 5.2 percent on year in the previous month. Retail sales are expected to sink 6.6 percent on month and 11.5 percent on year after dropping 4.5 percent on month and 4.6 percent on year a month earlier. Housing starts are tipped to tumbled an annual 12.1 percent after falling 7.6 percent in March. Overall Tokyo inflation is called flat on year after adding 0.2 percent in April, while core CPI is tipped to fall 0.2 percent on year after easing 0.1 percent in the previous month. The consumer confidence index had a score of 21.6 in April. South Korea will provide April data for industrial production and retail sales. Industrial production is tipped to fall3.2 percent on month and 0.5 percent…

Forecast for USD/JPY on May 29, 2020

USD/JPY
The US stock market (S&P 500) lost 0.21% on Thursday due to weak economic data: the volume of orders for durable goods fell by 17.2% in April, the second estimate of GDP for the first quarter was revised down from -4.8 % to -5.0% against an unchanged forecast (i.e. -4.8%). The Japanese Nikkei 225 index is down 0.65% today in the Asian session. The currency pair itself, following the stock market, turned down from the signal level of 107.78 yesterday and approached the support of the embedded price channel line (107.37) this morning, overcoming which will allow the price to fall to the MACD indicator line (107.12), then, in case it leaves the area under the MACD line, to the target level of 106.75.
The price has consolidated below the MACD line on the four-hour chart, the Marlin oscillator is in the negative zone. The probability of the bears’ success, that is, overcoming the support of 107.37 is 62-65%.
The material has been provided by InstaForex Company – www.instaforex.com…