Free Forex Signals

Spot has nudged a little higher through quiet Asian and European trade, Scotiabank’s Chief FX Strategist Shaun Osborne notes.

ECB stresses slow and measured cuts

“A number of ECB officials have been speaking and messaging is pretty clear— policymakers are in no rush to ease and December is the next likely point at which rates will be cut. The outlook for slow and cautious cuts contrasts with market expectations for bolds, more aggressive easing from the Fed. EZ/US 2Y spreads have narrowed to – 135bps, the narrowest since May last year.”

”EUR/USD is on the cusp of a bullish technical break out. Spot has been consolidating in a downward sloping range since the end of August—a potential bull flag pattern. Gains through the channel ceiling at 1.1125— which is under pressure at writing—should trigger a retest of 1.12 (at least) and should signal scope for a broader move up.”

“Trend momentum is leaning bullish and strengthening again, supporting the outlook for more EUR gains. Major resistance sits at 1.1275. Support is 1.1075.”

• Gold reclaims its footing as Oil retreat blunts Fed shock
• Gold advances to fresh weekly top; eyes $$4,400 as softer US bond yields cap USD gains
• Gold shrugs off Fed hike as falling yields reopen path to $4,400
• Euro: Fair value falls on oil and Fed pressure against US Dollar.
• Gold: Higher yields cap recovery prospects – OCBC