Today’s Hot Asset for you to Trade On: GBP/USD
The GBP/USD fell 180 pips from 1.5940 down to 1.5760 on Wednesday. The decrease evolved as the Bank of England reduced the inflation outlook, stating that inflation may drop below 1% in the next 6 months. Following the news, Mark Carney strained that keeping interest rates low is the right decision and this sent the British pound down further.The U.S. jobs data will be released at 1.30PM and 3.00PM (GMT) and should grab trader attention
The trend is sideways. Support is found at 1.5750 and resistance at 1.5840.
Looking for tomorrow’s EU inflation data, the EUR/USD is trading choppy. Ever since inflation decreased to an ultra-low level of 0.3%, far below the 2% target, the European Central Bank has been vigilantly watching this data. The pair may drop down following a combination of continuing inflationary pressure and a lower than expected CPI outcome
A string of data releases should be taken into consideration today. At 7.00AM (GMT) the German Final CPI data will be released. U.S. Unemployment claims will come out at 1.30PM (GMT) and the JOLTS Job Openings will be available at 3.00PM. Both U.S. reports could affect the dollar in a positive way, if the readings are strong.
The movement is sideways. Support is found at 1.2360 and resistance is at 1.2500.
Gold fluctuated between $1,156/ounce and $1,170/ounce yesterday. The lack of U.S. data and the restricted stock market movement produced low volatility. Tomorrow, U.S. Retails Sale data will be released and should generate trading opportunities.
Unique trading opportunities could be provided today. Traders should watch the support and resistance, any possible bounces off these levels may affect the price.
The movement is sideways. Support is found at 1,138 and resistance at 1,180.
Crude Oil WTI
WTI Crude fell back below $77/barrel yesterday, as speculation rampaged whether output will be cut by OPEC. We can see the price dropping lower as demand is decreasing. The price is on a downward march ever since June, dropping 30%, this sentiment is expected to continue.
Later today, the U.S. Crude Oil inventories report will be out, the prediction is an increase of 700,000 barrels. Anything above this reading may push the price below $76/barrel and even lower, pushing the $75/barrel mark.
The trend is sideways. Support is found at 75.00 and resistance at 80.00
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