Experts react to Black Monday (based on telegraph.co.uk article)
Markets now believe Federal Reserve won't rise rates until 2016, and this is what experts are talking about:
at Barclays - expectation of a Fed rate rise to the first half of next
year: "Given the uncertainty around the current global outlook, the
of the rate hike seems more uncertain than usual. Should this episode of
financial market volatility prove transitory, the FOMC could raise
rates in December. On the other hand, if the volatility proves durable
or reveals greater than expected weakness in global activity, the FOMC
may push the first rate hike beyond March."
Economists at Capital Economics - September rate hike: "There are no signs of any major downturn in the US economy, economic
growth in China still appears to slowing rather than collapsing and
emerging markets are not about to endure a repeat of the 1997/98 Asian
crisis. The current bout of market turmoil, if it continues, might
persuade the Fed to hold off on raising interest rates in September.
Since that volatility doesn’t reflect any genuine economic slump,
however, we wouldn’t be surprised if it proved short-lived leaving the
way open for the Fed to begin raising rates at some point this year."
United Overseas Bank believes in bullish on EUR/USD within 1-3 weeks (based on efxnews article)
United Overseas Bank (UOB) maintains a bullish forecast for EUR/USD within the next 3 weeks. United Overseas Bank previously known as United Chinese Bank or UCB and headquartered in Singapore is a financial int'l holding company. UOB was founded in 1935 and having the branches in most South-East Asian countries. The UOB Group estimated for EUR/USD to break 1.1710/1.1715 in the near future:
On the daily basis, UOB Group evalute the EUR/USD to be in ranging market condition within 1.1425/1.1580.
EUR/USD: Topped Or Not (based on efxnews article)
AUDIO - Follow the Money with Alex Perna (based on fxstreet article)
Another waved of selling pummeled the markets today, causing several
currencies to rally in to strong supply and demand zones. Online Trading
Academy instructor, Alex Perna joins Merlin to talk about his
evolution as a trader and share some of his bigger learning lessons.
Alex and Merlin look at the weakness in the Dollar and opportunities in
other currencies like the Pound, Yen, Canadian dollar, and much more!
Trading News Events: U.S. Gross Domestic Product (based on dailyfx article)
An upward revision in the 2Q U.S. Gross Domestic
Product (GDP) report may boost the appeal of the greenback and spark a
larger pullback in EUR/USD as it fuels speculation for a September Fed rate hike.
Why Is This Event Important:
The Fed may stay on course to normalize monetary policy in 2015 as the
central bank still anticipates a stronger recovery to materialize over
the coming months, and data prints encouraging an improved outlook for
growth & inflation may spur a greater dissent within the committee
as the economy gets on a more sustainable path.
However, easing job growth paired with the slowdown in building activity
may drag on growth rate, and signs of a slower recovery may spur a
further delay of the Fed’s normalization cycle as the central bank
struggles to achieve the 2% target for inflation.
How To Trade This Event Risk
Bullish USD Trade: Growth Rate Expands Annualized 3.2% or Greater
1Q 2015 U.S. Gross Domestic Product (GDP)
EURUSD M5: 42 pips range price movement by USD - GDP news event:
Trade Ideas For EUR/USD (based on efxnews article)
EUR/USD: "Liquidity is very poor, although yesterday was
slightly better than earlier in the week. Play the intraday moves, and
expect sellers to come in on every move close to yesterday's break of
1.1466. Buyers will be lined up ahead of 1.1200."
Forum on trading, automated trading systems and testing trading strategies
EURUSD Technical Analysis 2015, 23.08 - 30.08: weekly breakout
Sergey Golubev, 2015.08.27 14:47
EURUSD M5: 36 pips price movement by USD - GDP news event:
EUR/USD: Is A Break Of 1.12 On The Cards Today? (based on efxnews article)
UOB Group made a technical analysis for today:
EUR/USD - Neutral: "Pull-back has room to extend towards the next
support at 1.1105. While we expected a pull-back, the pace has been more
rapid than anticipated. The current EUR weakness appears incomplete and could extend towards the next support 1.1105."
Forex Weekly Outlook Aug 31-Sep 4 (based on forexcrunch article)
Markets did not go on an August vacation in a week that saw
extreme volatility. The US dollar emerged as a big winner but it wasn’t
always this way. A very busy week awaits us: rate decisions in Australia
and the Eurozone, GDP data from Canada and Australia, and a full
buildup to the the all-important Non-Farm Payrolls in the US. These are
the major market movers for this week. Join us as we explore these top
events on our weekly outlook.
Turmoil in global financial markets increased speculations that the Federal Reserve may delay the widely anticipated September rate hike.
Concerns over global growth, the plunge in commodity prices, China’s
frenzied stock markets and its recent currency devaluation suggested a
possible change in the Fed’s timetable. Nevertheless, US economic data
remained positive with a sharp upward revision in the growth forecasts
for Q2, reaching 3.7% compared to 2.3% expansion estimated earlier.
Furthermore, Durable Goods Orders registered solid gains rising 2% while
core orders increased 0.6%, well above forecasts, indicating rising
domestic demand and further expansion in the third quarter. The yen and
the euro enjoyed the trouble but this changed, especially for the euro.
Also the ECB could react, not only the Fed.
EUR/USD Forecast Aug. 31 – Sep. 4 (based on forexcrunch article)
Roller coaster does not begin to describe the week that EUR/USD underwent.
A leap to highs unseen in months continued with big fall. Volatility is
set to continue as traders return to their desks and the ECB makes its
statement. Apart from Draghi we also have employment, inflation and PMI
data. Here is an outlook for the highlights of this week and an updated
technical analysis for EUR/USD.
The fear that gripped markets
continued helping the euro. The common currency has become a funding
one and that was clear with the leap above 1.17. However, this didn’t
last too long: not only the Fed can be more dovish
but also the ECB. A hint about monetary stimulus and a rebound in
atmosphere and stocks sent the pair down. Also a better than expected
GDP read from the US helped the dollar regain its strength. In the
euro-zone, the solid German business sentiment helped the euro early in
the week while other figures did not surprise.