GBP released the CPI which was unchanged for Y/Y and slightly lower for m/m. GBP pairs did not move too much except a big drop in GBP/USD. I think this is because GBP/USD is the most speculative pair for GBP and fundamentally speaking, nothing really changed in this release, however, the sentiment is shifted to slightly negative for GBP and when versus USD, it would drop the most as it was.
We still have Average earnings, claimant count and unemployment rate tomorrow, and monetary summary and rate decision on Thursday, so overall I will refrain from entering any GBP trade before tomorrow. Thursday’s event is expected to be non eventful as what’s needed to be said has been said.
We do have a pretty good bearish big shadow in GBP/USD in daily chart that is valid for our entry, as fundamentally speaking, USD is stronger than GBP and the rest of the sentiment in this week will not effect the pair greatly, unless we have surprises in both datas coming up.
We have a risk off day today as all equities markets were down and that dragged the AUD, NZD & CAD alone with it.
CAD also suffered from another down day in WTI.
Overall as mentioned, there are no major news for these 3 currencies and they will go with the sentiments in this kind of conditions.
USD is gaining strength in sentiment and reflected in the market, although nothing has changed and this will just be day to day basis to go with the sentiment.
Oerall USD is a good buy due to its fundamental, but just be careful not to get caught up in the sentiment whipsaws.
EUR & JPY & CHF all reacted with a bit strength due to risk off sentiment and safe heaven status. Again, no significant economic release for all 3 currencies.
GBP released the CPI which was unchanged for Y/Y and slightly lower for m/m. GBP pairs did not move too much except a big drop in GBP/USD. I think this is because GBP/USD is the most speculative pair for GBP and fundamentally speaking, nothing really changed in this release, however, the sentiment is shifted to slightly negative for GBP and when versus USD, it would drop the most as it was.
We still have Average earnings, claimant count and unemployment rate tomorrow, and monetary summary and rate decision on Thursday, so overall I will refrain from entering any GBP trade before tomorrow. Thursday’s event is expected to be non eventful as what’s needed to be said has been said.
We do have a pretty good bearish big shadow in GBP/USD in daily chart that is valid for our entry, as fundamentally speaking, USD is stronger than GBP and the rest of the sentiment in this week will not effect the pair greatly, unless we have surprises in both datas coming up.
We have a risk off day today as all equities markets were down and that dragged the AUD, NZD & CAD alone with it.
CAD also suffered from another down day in WTI.
Overall as mentioned, there are no major news for these 3 currencies and they will go with the sentiments in this kind of conditions.
USD is gaining strength in sentiment and reflected in the market, although nothing has changed and this will just be day to day basis to go with the sentiment.
Oerall USD is a good buy due to its fundamental, but just be careful not to get caught up in the sentiment whipsaws.
EUR & JPY & CHF all reacted with a bit strength due to risk off sentiment and safe heaven status. Again, no significant economic release for all 3 currencies.