Fed may encounter some policy mistakes leading the US economy into recession in coming years.Will USD/JPY test 105 again? Federal Reserve Bank of St. Louis President James Bullard said he doesn’t support more interest-rate increases unless there are upside surprises, in part because the yield curve may become inverted. We think the “upside surprises” he mentioned refers…
Chart #1 is a monthly chart of WTIC Crude Oil (in the upper half) and the CL:OVX ratio (depicted in histogram format in the lower half). As I’ve noted recently, the major price resistance and support levels are 80.00 and 60.00, respectively. Corresponding to those are the major ratio resistance and support levels of 3.00 and 2.00, respectively. In this regard, it will be important for the ratio to remain above 2.00 and the ratio 5 MA to remain above…
The Pound Sterling remained close to a 2-week trough versus the US Dollar after the head of the Bank of England dampened investors’ expectations of a May rate hike. Mark Carney, the BoE Governor, pointed to “other meetings” occurring later this year which led investors to believe that the anticipated May rate increase might now…
Previous: On Thursday the 19th of April, trading on the euro closed down. The single currency slid against the dollar from 1.2400 to 1.2345. The local minimum is at 1.2329. Additionally, the greenback got a boost from a rise in US10Y bond yields, which have jumped from 2.86% to 2.934%. Aside from the dollar’s universal rise,…
The EUR/USD is trading lower, yet still within a very tight range. Disappointing euro-zone figures and a Federal Reserve that is keen raise rates may push the pair lower. The technical picture is slightly more bearish but further evidence is needed. The EUR/USD is trading at around $1.2310, lower on the day and close to the bottom…
A few weeks ago, I watched an excellent video of Carter Worth on CNBC discussing FB stock. He was a committed seller of the stock for some very sound technical reasons. FB has certainly had a rough time of it lately but it has bounced quite well off the lows. That leads me to ask,…
OPEC embarked upon a disastrous strategy in 2014 when it decided to defend market share against U.S. shale oil producers, but its new strategy is having the desired effect on the oil markets. In late 2016 OPEC engineered significant oil production cuts in order to address an oversupplied oil market. Global crude oil inventories had…
Another uptick in Canada’s Consumer Price Index (CPI) may derail the recent rebound in USD/CAD as it puts pressure on the Bank of Canada (BoC) to implement higher borrowing-costs sooner rather than later. Recent comments from the BoC suggests the central bank remains in no rush to raise the benchmark interest rate as officials argue…
AUDUSD broke below 0.7738 key support, suggesting that the upside movement from 0.7642 had completed at 0.7813 already. Further decline could be expected after a minor consolidation and next target would be at 0.7650 area. Resistance levels are at 0.7760 and 0.7813, only break above these levels could trigger another rise towards 0.7850.
Earnings season starts in earnest next week. Netflix reported. The rest of the FANG stocks report next week; Google, Facebook and Amazon. Let’s preview. Google Earnings Monday After The Close Google (Nasdaq: GOOG), (Nasdaq: GOOGL) reports after the close Monday with a conference call at 4:30 EDT. Last quarter showed accelerated revenue growth but weaker gross…
