• Latest
  • Trending
  • All
Pound corrects higher due to dollar weakness

Dollar a tad softer ahead of Powell’s speech

October 6, 2020 09:49
Equities struggle amid economic and China-related concerns

Equities struggle amid economic and China-related concerns

December 29, 2022 08:55
Dollar lacks upside momentum due to lower Treasury yields

Currencies stuck in ranges as New Year holiday looms

December 28, 2022 07:01
Stocks gain, dollar eases ahead of job market data

Dollar pressured by positive risk sentiment in thin markets

December 27, 2022 04:50
Dollar lacks upside momentum due to lower Treasury yields

Dollar tries to shrug off the pressure

December 26, 2022 05:13
Investors spooked by strong US data

Investors spooked by strong US data

December 23, 2022 11:55
Dollar lacks upside momentum due to lower Treasury yields

Dollar back under pressure after short-lived relief

December 22, 2022 05:17
Risk demand reemerges cautiously, but caution remains in place

Risk demand reemerges cautiously, but caution remains in place

December 21, 2022 08:49
Dollar lacks upside momentum due to lower Treasury yields

US dollar resists selling pressure

December 20, 2022 10:44
Market sentiment dented by recession fears

Market sentiment dented by recession fears

December 19, 2022 02:53
Dollar lacks upside momentum due to lower Treasury yields

Greenback stays on the defensive nearly across the board

November 16, 2022 05:34
Investor sentiment improves, but gains limited

Investor sentiment improves, but gains limited

November 15, 2022 05:46
Dollar lacks upside momentum due to lower Treasury yields

Dollar licks wounds after plunge

November 14, 2022 05:05
  • Terms & Сonditions
  • Contact
Monday, January 30, 2023
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Equities struggle amid economic and China-related concerns

    Equities struggle amid economic and China-related concerns

    Stocks gain, dollar eases ahead of job market data

    Dollar pressured by positive risk sentiment in thin markets

    Investors spooked by strong US data

    Investors spooked by strong US data

    Risk demand reemerges cautiously, but caution remains in place

    Risk demand reemerges cautiously, but caution remains in place

    Market sentiment dented by recession fears

    Market sentiment dented by recession fears

    Investor sentiment improves, but gains limited

    Investor sentiment improves, but gains limited

    Risk sentiment keeps deteriorating, dollar climbs

    Stocks celebrate US inflation, dollar slumps

    Virus, US-China tensions hit global markets

    Market sentiment turns cautious amid events in the US

    Investors look indecisive ahead of another volatile week

    Investors look indecisive ahead of another volatile week

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Equities struggle amid economic and China-related concerns

    Equities struggle amid economic and China-related concerns

    Stocks gain, dollar eases ahead of job market data

    Dollar pressured by positive risk sentiment in thin markets

    Investors spooked by strong US data

    Investors spooked by strong US data

    Risk demand reemerges cautiously, but caution remains in place

    Risk demand reemerges cautiously, but caution remains in place

    Market sentiment dented by recession fears

    Market sentiment dented by recession fears

    Investor sentiment improves, but gains limited

    Investor sentiment improves, but gains limited

    Risk sentiment keeps deteriorating, dollar climbs

    Stocks celebrate US inflation, dollar slumps

    Virus, US-China tensions hit global markets

    Market sentiment turns cautious amid events in the US

    Investors look indecisive ahead of another volatile week

    Investors look indecisive ahead of another volatile week

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
No Result
View All Result

Home » Dollar a tad softer ahead of Powell’s speech

Dollar a tad softer ahead of Powell’s speech

by Joseph Deen
October 6, 2020 09:49
in Technical analysis
0
Pound corrects higher due to dollar weakness

The Fed’s governor tone on the economy and monetary policy could affect short-term dynamics in USD pairs

EURUSD

EURUSD is consolidating yesterday’s gains on Tuesday, trading around the 1.18 figure and marginally above the 20-DMA. Further bullishness is in part capped by the recent statement from ECB’s President, Christine Lagarde, who expressed concerns about the economic recovery. Following the comment, the euro eased towards a daily low of 1.1765 where the mentioned moving average acted as support. As the four-hour chart shows, the price is struggling with a mildly bearish 200-SMA, with the RSI approaching overbought readings, suggesting further gains could be limited in the short term. Once above the 1.1810 resistance, the pair could retarget the 1.1880 next hurdle.  

GBPUSD

GBP/USD saw an intraday turnaround from the key 1.3000 psychological mark on Tuesday and turned marginally lower on the day as the persisting uncertainty surrounding Brexit- took its toll on the British pound. On the other hand, losses were limited due to a softer tone surrounding the greenback ahead of Powell’s speech due later today. The Fed’s governor tone on the economy and monetary policy could affect short-term dynamics in USD pairs. As a result of rejection from local highs, the cable broke down of its daily consolidative trading range and refreshed daily lows around 1.2920. As of writing, the pair was changing hands around 1.2960, just a tad lower on the day. 

USDJPY

USDJPY failed to extend its gains beyond 105.80, retreating from the resistance area that capped yesterday’s bullish attempts as well. As of writing, the pair was trading around 150.60, technically neutral, with the bullish scope being limited amid the general weakness in dollar demand. Should the prices resume the ascent and break above the mentioned resistance, the breakout could pave the way to a retest of the 106.30 zone where another barrier for USD bulls arrives. On the four-hour timeframes, the pair is flirting with the 200-SMA that now caps the way toward 105.80. On the flip side, USDJPY needs to hold above the 20-DMA around 105.40 to avoid a deeper retreat in the short term. 

EURGBP

As fresh selling around the British pound reemerged, the EUR/GBP cross came above the 0.91 round-figure mark. Today is the second consecutive day of a positive move that is also supported by some pickup in demand for the common currency. However, further bullish attempts are likely to confront the immediate resistance represented by the 20-DMA, at 0.9140 today. That said, a convincing breakthrough will be seen as a fresh trigger for euro bulls that could take the pair to 0.9190. On the downside, the cross remains supported by the 100-DMA that arrives at 0.9030. Technical indicators on the daily chart maintain their bullish bias and support prospects for an eventual break above the mentioned immediate resistance

USDCAD

USDCAD dipped to nearly two-week lows around 1.3240 in recent trading but still fluctuating in a narrow trading range on Tuesday, with bullish attempts being capped by the 20-DMA that turned back into support for the first time in nearly a month. It is a bearish sign along with the descending 100-DMA while the directionless daily RSI in the neutral territory suggests the dollar could spend some time in a consolidative mode before deciding on a further direction. In a wider picture, downside risks are limited as long as the prices stay above the 1.3130 area where a strong support zone arrives. Once below this handle, bearish pressure could intensify and drive the pair back to early-2020 lows last seen in late-August around 1.30.    

Tags: ECBEURGBPEURUSDFederal ReserveGBPUSDJerome PowellUSDCADUSDJPY
Share3Tweet2
ADVERTISEMENT
Joseph Deen

Joseph Deen

Joseph is a technical analysis expert. A graduate of NYU, Joseph has a master's degree in mathematics. On FWNews, Joseph provides exchange rates reviews and forecasts.

Related Posts

Equities struggle amid economic and China-related concerns
Fundamental analysis

Equities struggle amid economic and China-related concerns

December 29, 2022 08:55
16
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Currencies stuck in ranges as New Year holiday looms

December 28, 2022 07:01
12
Stocks gain, dollar eases ahead of job market data
Fundamental analysis

Dollar pressured by positive risk sentiment in thin markets

December 27, 2022 04:50
12
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar tries to shrug off the pressure

December 26, 2022 05:13
12
Investors spooked by strong US data
Fundamental analysis

Investors spooked by strong US data

December 23, 2022 11:55
11
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar back under pressure after short-lived relief

December 22, 2022 05:17
16

Leave Your Opinion Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

The Federal Reserve on Monday moved to bolster a new small-business lending program by allowing banks to turn those loans over to the U.S. central bank for cash, easing concerns among banks about getting stuck holding the low interest loans.

Fed says it will provide financing against new U.S. ‘payroll protection’ loans

April 7, 2020 08:10
12
Dollar lacks upside momentum due to lower Treasury yields

Dollar in consolidation mode, bullish bias persists

September 15, 2022 07:50
18
Global stocks mixed as investors remain cautious

Upbeat sentiment persists despite bearish drivers

December 8, 2021 02:16
13

Ads

Shneider Electric

Most Popular

A slow start to the week in FX markets
Technical analysis

Dollar regains ground to start the week

January 25, 2021 07:25
118
A slow start to the week in FX markets
Technical analysis

Greenback advances modestly amid strong data

May 28, 2021 07:38
110
Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war
News

Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war

July 28, 2020 08:29
95
FWNews

Copyright © 2022 FWNews

  • Terms & Сonditions
  • Contact
No Result
View All Result
  • FUNDAMENTALS
  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage

Copyright © 2022 FWNews