Page 52 - Christopher Vecchio News Today

Weekly Technical US Dollar Forecast: Finally Turning Higher? Advertisement Technical Forecast for the US Dollar: Neutral The DXY Index has held onto key technical support, suggesting that bulls may have a bit more fight left yet. Net-short US Dollar futures positioning has eased as the DXY Index has rallied, but has not shifted that significantly from levels seen going back to mid-December 2020. The IG Client Sentiment Index suggests that the Euro, the largest component of t...

Australian Dollar Forecast: Yield Spike Offers Reason for Pause - Setups in AUD/JPY, AUD/USD Advertisement Australian Dollar Outlook: After hitting fresh yearly highs earlier in the day, both AUD/JPY and AUD/USD rates have turned lower, with potential bearish topping candlesticks taking shape. The spike in developed market sovereign bond yields, but US Treasury yields in particular, has spooked investors, offering a sober reason for a pause in the recent unbridled optimism. ...

Copper Prices Surge, Have All-Time Highs in Sight Advertisement Copper Price Outlook: Are higher sovereign bond yields a warning sign of inflation or a welcoming sign of reflation? Narrative aside, copper prices have been surging. US Dollar weakness relative to Latam FX, in particular, the Chilean Peso, suggests tailwinds remain strong for copper prices (Chile accounts for more than 50% of global copper production). Long-term, a multi-year trendline break suggests that a bullish view is appropr...

Fed Chair Powell isn’t the only Fed official in the news. But the message has been resoundingly clear: the Fed isn’t raising rates anytime soon.

Gold Price Forecast: Rising Yields Complicate Rebound Effort - Levels for XAU/USD Advertisement Gold Price Outlook: The shiny metal rockdoesn’t offer a coupon, dividend, or cash flow. Comparatively speaking, this leaves gold at a disadvantage in an environment defined by appealing growth prospects and rising real yields (returns in excess of inflation). Gold prices are struggling to climb back above the downtrend from the January and February swing highs, and in turn, have not yet reclaimed t...

EUR/CHF Breakout Signals Risk-On in Europe; EUR/NOK, EUR/SEK Test Key Support Advertisement Euro Outlook: The Euro has been left to the whims of broader markets, but a look at some of the non-major EUR-crosses suggests that risk appetite continues to improve. While EUR/CHF rates have broken out higher, EUR/NOK and EUR/SEK rates remain within consolidations that have bearish inclinations. Non-Major EUR-crosses Look Optimistic In recent days we’ve looked at the major EUR-crosses, surmising that...

Crude Oil Prices Explode Higher - Are Gains Sustainable? Advertisement Crude Oil Outlook: In energy markets, prices are reflecting a battle of the fundamentals: short-term (cold spell in US) versus long-term (significant supply on sidelines). Crude oil prices are nearing the January 2020 high, and in doing so, are readying a test of the descending trendline from the July 2008 (all-time high) and June 2014 highs. A significant bottom may be in place soon. Recent changes in re...

US Dollar Forecast: Back to the Year-Long Downtrend - Levels for DXY Index, USD/JPY Advertisement US Dollar Outlook: The US Dollar (via the DXY Index) continues to contend with its pandemic trendline, a magnet for price action throughout February. The January US durable goods orders report on Thursday and the January US inflation rate (PCE) report on Friday are the top data releases in the coming days, while Fed Chair Powell’s testimony on Capitol Hill will bring the usual...

Each major EUR-cross has its own story to tell.

FX Week Ahead - Top 5 Events: Euroarea & US Inflation; RBNZ Rate Decision; Mexico GDP; US Durable Goods Orders Advertisement FX Week Ahead Overview: The last week of February brings a broad but shallow economic calendar, top heavy with ‘high’ rated events and not much else. The Reserve Bank of New Zealand meets for the first time in 2021, and like the other commodity currency central banks, it too may shrug off negative interest rate talk while at the same time complain about FX markets. Ch...