Dear Clients,
Tradeo ceased offering trading services last year in May. Trading and ancillary will not recommence, and the brand/platform will be permanently discontinued.
For the clients with remaining balances, kindly send a withdrawal request through your login or via chat or email. If there are any queries or concerns relating to your account or any other matter, please email us at [email protected]
Regards,
Tradeo
10 November 20
Economic Data Puts the EUR and GBP in Focus, while Capitol Hill Remains in the Spotlight
While economic data will put the EUR and the Pound in focus, U.S politics, COVID-19, and Brexit news will also influence.
For the EUR
It’s a relatively busy day ahead on the economic calendar. November’s ZEW Economic Sentiment figures for Germany and the Eurozone are due out.
We can expect EUR sensitivity to the numbers as the markets get a sense of what impact the 2nd wave pandemic is having on sentiment.
Away from the economic calendar, expect continued support from Biden’s victory. Any updates on COVID-19 and Brexit will also influence.
At the time of writing, the EUR was up by 0.19% to $1.1835.
For the Pound
It’s a busy day ahead on the economic calendar. October claimant count figures and September’s unemployment rate will be the key drivers.
Wage growth and employment change figures are also due out but should have less of an impact on the day.
Earlier in the morning, BRC Retail Sales Monitor figures for October were in focus.
According to the BRC, retail sales rose by 5.2% in October year-on-year, following a 6.1% jump in September.
At the time of writing, the Pound was up by 0.17% to $1.3189.
For The USD
It’s a quiet day ahead for the U.S Dollar. JOLTs job openings for September are due out later today.
Concerns over the labor market recovery linger, making labor market figures all the more influential.
Away from the economic calendar, chatter from Capitol Hill and COVID-19 news updates will continue to provide direction.
At the time of writing, the Dollar Spot Index was down by 0.10% to 92.629.
The EUR/GBP pair extended its retreat below 0.9000 on Monday and Axel Rudolph, Senior FICC Technical Analyst at Commerzbank, is looking for a slide to the 200-day moving average at 0.8924.
“EUR/GBP‘s recovery last week was not enough to overcome the 55-day moving average at 0.9061 and the 0.9071 short-term downtrend channel resistance line. While capped there a negative bias will persist for losses to extend to the 200-day moving average at 0.8924, which we suspect will hold the initial test.
“Failure at the 0.8924 200-day moving average would probably target 0.8865/64, the June and September lows.”
https://www.investing.com/charts/forex-charts
USD/JPY corrects further below 105.00 as Treasury yields tumble
USD/JPY extends its corrective declines from three-week highs of 105.64, now trading below 105.00 amid a fresh sell-off in the US Treasury yields. The spot rallied hard on the covid vaccine news as the greenback picked up a bid on Monday.
The pair trades around 105.50 at the time of writing, maintaining its bullish potential in the near-term. The 4-hour chart shows that it has crossed above all of its moving averages, although with the 20 SMA slowly turning north well below the larger ones. Technical indicators reached overbought levels, the Momentum still advancing, and the RSI stable above 70. A daily descendant trend line coming from March high comes around 105.00 this Tuesday, providing critical resistance, with further gains expected on a break above it.
Support levels: 105.30 104.90 104.50
Resistance levels: 105.65 106.00 106.40
https://www.fxstreet.com/currencies/usdjpy
https://www.investing.com/charts/forex-charts
GBP/USD Daily Forecast – Another Test Of Resistance At 1.3180
GBP/USD faced strong resistance near 1.3180 but tries to settle above this level. In order to continue its upside move, GBP/USD will have to get above the recent highs near 1.3210.
If GBP/USD settles above 1.3210, it will likely gain additional upside momentum and head towards the next resistance level at 1.3270. RSI is in the moderate territory so there is plenty of room to gain momentum in case the right catalysts emerge.
A successful test of the resistance at 1.3270 will open the way to the next resistance level at 1.3325. There are no material levels between 1.3270 and 1.3325 so this move may be fast.
On the support side, the first support level for GBP/USD is located at 1.3140. Yesterday, GBP/USD made an attempt to settle below this level but this attempt yielded no results.
If GBP/USD settles below 1.3140, it will move ttowards the next support level which has emerged near 1.3100. A move below 1.3100 will push GBP/USD towards the next support at 1.3070. The 20 EMA is in the nearby, so GBP/USD will likely receive material support near 1.3070.
https://www.investing.com/charts/forex-charts
Legal disclaimer: The material does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instruments. UR Trade Fix Ltd accepts no responsibility for any use that may be made of these comments and for any consequences resulting in it. No representation or warranty is given as to the accuracy or completeness of this information. Consequently, any person acting on it does so entirely at their own risk. The analysis does not involve any specific investment objectives, financial situation and needs of any specific person who may receive it. Past performance does not constitute a reliable indicator of future results and future forecasts do not constitute a reliable indicator of future performance.
It has not been prepared in accordance with legal requirements designed to promote the independence of research, and as such it is considered to be marketing communication. Although we are not specifically constrained from dealing ahead of the publication of our research, we do not seek to take advantage of it before we provide it to our clients. We aim to establish, maintain and operate effective organizational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. We operate a policy of independence, which requires our employees to act in our clients’ best interests when providing our services.
