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Euro goes into freefall; have investors become too pessimistic?

The euro’s woes just keep getting worse and worse. The single currency has ploughed more than one-year lows against the US dollar and pound, and six-year lows versus the Swiss franc.

Technical Analysis – EURGBP consolidates around 21-month low

EURGBP is edging sideways across a support base shaped between the near 21-month low of 0.8378 and the 0.8384 barrier.

US Open Note – Dollar climbs as prices and yields tick higher

Global inflation risks prevail, Canada delivers CPI data The US economy appears to be recovering well in the last quarter of the year and subsequently, speculation about a fresh Fed Chairman being appointed seems to be fading in the horizon.

Daily Market Comment – Euro in freefall as outlook dims; pound gains on inflation jump

Euro tumbles again as dovish ECB and mounting worries weigh Pound modestly higher after UK inflation tops 4% Dollar reigns supreme as strong US data run continues Euro can’t catch a break The euro is sinking, stretching its week-long slide and breaching the $1.

Technical Analysis – EURGBP plummets to 20-month low

EURGBP has been trending downwards since August 2020. Although the pair has adopted a more sideways pattern in the last eight months, the short-term picture has started to deteriorate again as the price is fluctuating close to record lows.

Technical Analysis – EURGBP capped by its 200-SMA; bullish bias arises

EURGBP has managed to partially rebound after its long-term downtrend halted at the 20-month low of 0.8402.

EURGBP is currently maintaining a positive bearing and is a tad above the 200-period simple moving average (SMA) at 0.

ECB plays down rate hike scenario but euro flies to fresh session highs – US Open Note

Global flattening of yield curves A flattening of global bond yield curves gained momentum on Thursday, ratcheting concerns about the pace of economic growth as more central banks start to signal higher interest rates in the foreseeable future amid the persisting inflationary pressures.

EURGBP is currently pushing above the mid-Bollinger band at 0.8442, following a two-and-a-half-week decline that found its feet around the 0.

US Open Note – Yen still plunges; oil heads towards $82.00

Dollar index on mute today; US retail sales surprised The dollar index is hovering around 94.00 today, following two red days; however, dollar/yen is heading sharply higher towards a fresh three-year high around 114.

EURGBP sellers have steered the latest price descent from the 2-month high of 0.8658 down towards the 0.8500 handle, but buyers are fighting back to overturn further downward price development.

EURGBP’s latest upside momentum has stalled at the resistance ceiling of 0.8658-0.8671, which was formed by the July and May highs.

US Open Note – Euro unchanged as ECB meets PEPP expectations; dollar stable

Taper - ECB style Starting bond tapering could be an unwise decision when the pandemic is still propagating worldwide through its threatening variants.

EURGBP quickened its pace higher on Tuesday, putting the August uptrend back on the wires to peak at a fresh seven week high, marginally above the previous top of 0.

US Open Note – Dollar consolidates losses as jobs day looms; stocks mildly up

US Jobless claims pin fresh low as expected The downbeat ADP private jobs survey and the dip in the employment component of the ISM manufacturing PMI created plenty of interest in the US initial jobless claims numbers on Thursday as anxiety continues to grow about whether Friday’s nonfarm payrolls will meet the criteria for the Fed’s bond tapering plans to start sooner rather than later.

Technical Analysis – EURGBP backs off near six-week high

EURGBP faltered after barely surpassing the 0.8600 level on Wednesday in the four-hour chart. The 61.8% Fibonacci retracement of the 0.

Technical Analysis – EURGBP finds support near trendline; next resistance at 0.8568

EURGBP refused to close below the 50-period simple moving average (SMA) in the four-hour chart and the supportive trendline, raising optimism that the upward pattern could see further continuation even if the flattening SMAs are providing little hope for an uptrend improvement at the moment.

US Open Note – Risk currencies become the best performers as delta fears persist

Jackson Hole in focus, as delta strain challenges policy decisions Although not a game changer yet, the RBNZ policy announcement showed last week that the spread of the delta virus strain could bring some rescheduling in monetary policy plans, and therefore some exciting volatility in FX markets.

UK inflation and retail sales likely eased in July but pound to stay elevated – Forex News Preview

It’s a data-heavy week for the UK, with investors turning to Wednesday’s CPI readings and Friday’s retail sales numbers (all due at 06:00 GMT) after today’s employment report.

EURGBP closed the previous session marginally above the 20-period simple moving average (SMA) on the four-chart, but a sustainable move above the steep descending trendline, which connects the highs from July’s top of 0.


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