On Friday, the main event of the trading session was not European statistics and the negative opening of the US stock market, which was expected based on the dynamics of US futures. The main Friday event was the sharp reversal of USD dollar. The dollar reversal completed a two-week correction and the weakening of the American currency. If we analyze USD dollar index chart, we can expect the growth of the dollar next week, as soon as the index passes the resistance around 96.85 points. At the start of US trading, the US dollar is more firm to most major currencies. The Japanese and Indian markets were closed for the holidays, and the weaker than expected EMU PMI flash index helped the euro to fall to a week low, however, the weakening of the euro was kind readable in the technical picture for already two days.
Another important and interesting event of the day is the fall of the oil market. Brent declines for the seventh week in a row. Apparently, market participants are surprised by the lack of a significant reaction from OPEC and on worse prospects on consumption in 2019. OPEC lowered their forecasts for the development rates of most of the countries belonging to this organization, confirming the general trend aimed at slowing economic growth. This will inevitably lead to a reduction in consumption, while production by the main market players remains at historically maximum values.
In the US economic calendar today PMI data is in focus. Although the index presents some risk of increased volatility, it usually does not have a long-term impact on the market. And finally, one of the most important events this week was the rethinking of the trajectory of the Fed's policy, this is the only and sufficiently weighty factor that can now somehow restrict the growth of the US currency. However, we mentioned this throughout the week. Let's see how the week will be closed on EUR / USD and the gold market charts. The weekly close will determine the next five-day trading .
Only from November 02nd, 2020, to January 04th, 2021, Deposit Bonus 200% is available for all FortFS clients! Use the advantage to engage for the unique offer within a limited period: activate the deposit bonus and get up to 200% on the deposit amount on your trading account! How to get a Deposit Bonus of […]
Only from 23 to 25 of November, the largest no deposit bonus 100 USD is available for all Forex traders! 🏆 Bonus details: 100 USD maximum withdrawal 75 lots of required trading turnover 2 weeks to try all of the trading conditions Available for cent accounts 📍 How to get the bonus: 1) Register an […]