Friday, December 4

Tag: Trading News

NFP and Forex: What is NFP and How to Trade It?
Forex News

NFP and Forex: What is NFP and How to Trade It?

NFP and Forex Trading: MAIN TALKING POINTSNon-Farm Payrolls (NFP) releases create volatility in the forex market. NFP measures net changes in employment jobs. Forex traders use an economic calendar to prepare for NFP releases.What is the NFP?The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It represents the number of jobs added, excluding farm employees, government employees, private household employees and employees of nonprofit organizations.NFP releases generally cause large movements in the forex market. The NFP data is normally released on the first Friday of every month at 8:30 AM ET. This article will explain the role NFPs play in economics and how to apply NFP release data to a forex trading strategy.How does t...
EU Stock 50 Index at Risk on Vaccine Hiccup, ECB Tempering Expectations
Stock News

EU Stock 50 Index at Risk on Vaccine Hiccup, ECB Tempering Expectations

EU Stock 50, Coronavirus Vaccine, European Central Bank – Talking Points:It was a mixed day of trade during the APAC session as investors mulled vaccine developments. Scaled-back vaccine production may weight on European equity markets. EU Stoxx 50 at risk of near-term pullback as price challenges key resistance.Asia-Pacific RecapIt was a mixed day of trade during the Asia-Pacific session as investors digested vaccine developments and awaited the release of the US non-farm payrolls report.Australia’s ASX 200 index rose 0.28% after retails sales figures for the month of October rose for the first time in 3 months, while Japan’s Nikkei 225 slipped 0.22% lower.In FX markets, the risk-sensitive AUD and NZD lost ground against their major counterparts alongside the ...
Copper Price May Rise Further on Stimulus-Driven Chinese Growth
Commodities

Copper Price May Rise Further on Stimulus-Driven Chinese Growth

Copper, Covid, China – Talking PointsCopper prices continue to push further into multi-year highs China seen as a prime driver for future copper price growth Green energy push to be long-term boon for the red metalCopper futures are trading at levels not seen since early 2013 as the industrial metal continues to rip higher. The $3.50 mark was breached at the start of the month in the COMEX futures market and prices are holding near that level. Since the Covid-induced selloff to the March low, LME Copper prices have gone on to rally nearly 40%.While other assets have also rallied following the market pandemonium earlier this year, copper has outpaced higher profile assets such as the S&P 500, gold, and silver. The red metal’s impressive rise is partially explained b...
USD/CAD Rate Trades to Fresh Yearly Low as RSI Tracks Downward Trend
Forex News

USD/CAD Rate Trades to Fresh Yearly Low as RSI Tracks Downward Trend

Canadian Dollar Talking PointsUSD/CAD takes out the November low (1.2923) despite the limited reaction to Canada’s Gross Domestic Product (GDP) report, and key market trends may keep the exchange rate under pressure as the US Dollar continues to reflect an inverse relationship with investor confidence.AdvertisementUSD/CAD Rate Trades to Fresh Yearly Low as RSI Tracks Downward TrendUSD/CAD tags a fresh yearly low (1.2916) even though Canada’s GDP report fell short of market expectations, with the growth rate expanding 40.5% in the third quarter of 2020 versus projections for a 47.6% print.It remains to be seen if the update to Canada’s Employment report will influence the near-term outlook for USD/CAD as the economy is expected to add another 20.0K jobs in November, but the f...
Crude Oil Prices Eye Deeper Pullback on OPEC+ Doubts, Rising Stockpiles
Commodities

Crude Oil Prices Eye Deeper Pullback on OPEC+ Doubts, Rising Stockpiles

CRUDE OIL PRICE OUTLOOK:Crude oil prices extended losses ahead of an OPEC+ meeting, despite a weaker US Dollar The API reported a 4.146-million-barrel rise in crude stockpiles for the week ending November 27th WTI may consolidate further with an eye on immediate support level of US$ 43.40WTI crude oil prices fell for a fourth day despite a weaker US Dollar as traders leaned defensive ahead of an OPEC+ meeting scheduled on Thursday. Oil traders have long been anticipating a 3-6 months delay in planned production hikes by the coalition, rendering oil prices vulnerable to unwinding trades should OPEC+ fail to deliver a plan to rein output.A much larger-than-expected rise in US crude stockpiles, according to data released by the American Petroleum Institute (API), further ...
Dow Jones Forecast for the Week Ahead
Stock News

Dow Jones Forecast for the Week Ahead

The Dow Jones trades just narrowly beneath record levels after capping off an incredible November that saw the index surge. While a sectoral rotation trade helped propel the DJIA beyond that of the Nasdaq 100 and S&P 500 for the month, recent hopes of further covid-related stimulus have kept the Industrial Average afloat. As a result, the three indices, and the Dow in particular, rode into December on an overwhelming wave of bullish sentiment and momentum.Dow Jones Price Chart: 4 - Hour Time Frame (September – December 2020)While recent consolidation might hint at waning momentum, the series of higher-lows and higher-highs is an encouraging sign for the Dow in the weeks ahead. Since seasonal trends and a lack of fundamental catalysts might seen volatility and price action slow,...
Gold Price Rebounds Ahead of July Low to Pull RSI Out of Oversold Zone
Commodities

Gold Price Rebounds Ahead of July Low to Pull RSI Out of Oversold Zone

Gold Price Talking PointsThe price of gold bounces back from the November low ($1765) to snap the series of lower highs and lows carried over from late last week, and the precious metal may stage a larger rebound over the coming days as the Relative Strength Index (RSI) bounces back from oversold territory to reflect a textbook buy signal.Gold Price Rebounds Ahead of July Low to Pull RSI Out of Oversold ZoneThe price of goldappears to have reversed course ahead of the July low ($1758) even as the Organisation for Economic Co-operation and Development (OECD) see “global GDP at pre-pandemic levels by the end of 2021,” and the precious metal may continue to move to the beat of its own drum as the correction from the record high ($2075) appears to be a shift in market behavior rather tha...
Gold Prices May See a Technical Rebound Amid an Overall Bearish Trend
Commodities

Gold Prices May See a Technical Rebound Amid an Overall Bearish Trend

GOLD PRICE OUTLOOK:Gold prices traded higher on Tuesday on a weaker US Dollar, improving risk sentiment SPDR Gold Trust (GLD) sawcontinuous outflow in recent weeks as gold prices fell 85% of retail gold traders (within IG)are net long gold, whereas 15% are net shortGold prices rebounded from a 5-month low thanks to a softening US Dollar and improved risk sentiment during Asia-Pacific trading. Bullion prices were primarily weighed by a string of positive vaccine news that dented stimulus hopes. As a perceived hedge against fiat money and a store of value, gold prices are particularly sensitive to the US Dollar as well as stimulus prospects. Since Pfizer first announced its vaccine breakthrough on November 9th, gold prices have fallen more than 8%.The UK was reported to...
Bitcoin Price Forecast: BTC/USD Tops 2017 Peak, Sets Sights Higher
Crypto

Bitcoin Price Forecast: BTC/USD Tops 2017 Peak, Sets Sights Higher

Bitcoin (BTC/USD) Price Forecast:Bitcoin has climbed more than 165% in the year-to-date as investors clamor for returns Heralded as a fiat alternative, BTC/USD may have benefited from accommodative monetary policy and covid-related stimulus programs Can Bitcoin continue its charge after reaching a new all-time high?Bitcoin Price Forecast: BTC/USD Tops 2017 Peak, Sets Sights HigherBitcoin touched a new all-time high on Monday, briefly surpassing the prior peak of $19,783. Buoyed by a weakening US Dollar, talks of further stimulus and loose monetary policy, the largest cryptocurrency by market cap has thrived in the 2020 market environment. Bolstered by investors who believe cryptocurrency is the eventual replacement to the current fiat system, BTC/USD has climbed more th...
USD/ZAR Analysis: Oversold RSI Opposing Rand Fundamentals
Forex News

USD/ZAR Analysis: Oversold RSI Opposing Rand Fundamentals

USD/ZAR ANALYSISAdvertisementFUNDAMENTALS POINT TO FURTHER RAND APPRECIATIONThe South African Rand has exhibited substantial gains of recent, clawing back lockdown losses against the US Dollar. Market participants may be looking for a reversal of some sort with some technical indicators in support. The fundamental backdrop both globally and locally are stacked in favor of extended rand gains. Fundamental factors to consider:Foreign Bond Holders:The major selloff in South African sovereign bonds due to the recent downgrade by Fitch and Moody’s may be easing off which could aid further Rand strength. Local government bonds still provide attractive yields for foreign investors and with a possible COVID-19 vaccine on the horizon, this risk-on sentiment could support recent ZAR stre...