In my sight, the main prediction is about the USD, but yes, it will move other currencies. I am 100% sure that the dollar will fall back . Maybe today…
I think the USD will fall to ~93 today. The Bond Yealds boosted it well, but it is an old story. Now the investors are checking the communication between China and the US. Maybe it will be a new fight, that will be bad for the dollar.
GOLD – Investors started to sell Gold and buy USD because of the stronger dollar. Friday is a big mover in Gold. Friday is about Gold trading and I am sure that the direction right now is BUY.
EUR felt during the week, but there is no reason to falling lower. The EUR will probably start strong, like the GBP and this will also push down the USD.
And finally the technicals:
The GOLD is oversold and you can see the same on the EUR index too. he USD overbought. Many indicators started to show direction changes on lower timeframes (highers not confirmed yet).
Best pairs I saw for today:
GOLD – BUY
USDJPY – SELL
EURAUD – BUY
EURUSD – BUY
GBPUSD – BUY
My idea about the USD’s direction today was failed. The USD Index closed @ 93.58 (+0.19).
What happened today?
“Trade talks between the U.S. and China are in focus as officials meet in Washington to find a way to end their trade dispute. U.S. officials said Thursday China agreed to purchase up to $200 billion of American goods, but Chinese officials denied the agreement had been made.”
And what moved the USD?
“The rise in bond yields, along with positive economic data and rising inflation, has boosted expectations that the Federal Reserve will increase interest rates and tighten monetary policy.
The Fed raised rates in March and is expected to raise rates twice more, with some investors expecting a third hike.
Expectations of higher interest rates tend to boost the dollar by making the currency more attractive to yield-seeking investors.”
So, finally I didn’t placed trades on my account.
The latest GOLD trade closed on the monitoring account with low profit.
I’ll share the weekly stats tomorrow.