Thursday, August 24, 2017

#EURO Resilient #CABLE Declines #EURGBP Cross Extend GAINS

EURGBP extends above 0.9200 after a corrective move equivalent to a 500+/-  pips decline from a 0.9000 to 0.8500 price range (give /or take a few). Indeed, this has been validated from our previous market call & price analysis dated July 11, and August 04, 2017.

Link: EURO EURGBP Cross Relates to Market Strategy

Yet this just proves that while the USD - DXY have been consolidating well from its initial price recovery signal; the EURGBP cross rate have benefited from #GBPUSD ( CABLE) decline towards 1.2810.


Although, the #EURO have been resisting and railroading the 1.1880 - 1.1910 price levels the single currency remains resilient while the USD consolidates and tries to build a solid foundation for a base before making a serious comeback still in the making.

Meanwhile, everyone is awaiting results from the Jackson Hole conference before a real market move would be expected. As it maybe considered, the market has had a hand full of market disruption / misdirection. Even major banks have been calling signifying and expecting a major pull back with stocks. All told, these markets are just too eager to make things happen forgetting the fact, that the markets does it own and not what is expected of it.

Market Update as of week ending 8.24.17 

USD decline at 92.42 low prompted the rise of the EURUSD above 1.1910 with a high at 1.1941 along side CABLE's recovery back 1.2876 from a low at 1.2773 (price pullback) on the US session. And the EURGBP Cross rate ended the week at 0.9253 (chart below); a third consecutive New High for the month of August. 



As of Aug 25, 2017 Price Update: 0.9253
As of Aug 29, 2017                          0.9300


4 comments:

  1. Whenever an Effective Strategy between Majors & Crosses it is essential to commit the trade and stay on course until such time the market states otherwise. Being at the right side of the market would be validated and justified with the positive end result

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  2. The Grand Lady of the FED Reserve Chair Janet Yellen has made her point clear; as the US Economic Growth have made the economy what it is today!

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  3. USD decline at 92.42 low prompted the rise of the EURUSD above 1.1910 with a high at 1.1941 along side CABLE's recovery back 1.2876 from a low at 1.2773 (price pullback) on the US session.

    ReplyDelete
  4. Although, there is some similarity in price behavior with the AUSSIE, the EURGBP Cross differs from it. However, the relative sentiment of the USD decline has had more of a trade impact after the AUDUSD price movement. This is an excellent strategy that applies 'Alternate CCY Trades.

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