InvestingBetter.com
InvestingBetter.com Representative
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General market theme
Taking a little pause from the US Dollar investors’ attention will focus on the Euro today in light of the ECB meeting and the press conference that Mario Draghi will host on the back of it. Market participants are very keen to find out what is the outlook of the central bank for the Euro area regarding its inflation and growth forecasts and whether they are concerned about the potential repercussions of a Brexit.
As such we expect elevated volatility while the ECB President will be speaking while we also need to remain vigilant of any fresh news or polls from the UK on the EU referendum while the Pound continued to decline yesterday as a result of the most recent poll that showed that the Exit vote is closer than expected to the Remain one.
Price action highlights
The Euro extended its correction all the way to the outmost highest level it could as the currency climbed to the 1.1200 resistance area in light of the ECB meeting and the pause of Dollar’s advance as investors are shifting their attention on the European currency. From here though the price action will totally depend on ECB’s growth and inflation forecasts, Mario Draghi’s tone during his press conference and any hints for further easing or not. To the upside the next level of focus lies around the 1.1250 area while a reversal and a push lower again will drive the Euro towards its 1.1000 lows.
The Cable was weak for yet another 24 hours as the results of the recent EU referendum poll caught investors off guard and the decline extended to the 1.4400 level before the end of the day. Higher Manufacturing PMI levels went unnoticed as investors have focused their attention on a potential exit of the UK from the EU and all their trading has to do with weighting the probabilities of such a development. As we move closer to the referendum date we expect more volatility which will be totally dependent on fresh news or polls.
Focus of the day
The ECB meeting on monetary policy and ECB President Mario Draghi’s press conference on the back of it will undoubtedly be in the centre of investors’ attention today. Apart from that the UK Construction PMI before the ECB event and the Initial Jobless Claims reading after will complete the important events of the day ahead while we always remain vigilant of any fresh Brexit polls.
Economic Calendar
Source: http://investingbetter.com/daily-an...om-the-dollar-and-focuses-on-the-ecb-meeting/
Taking a little pause from the US Dollar investors’ attention will focus on the Euro today in light of the ECB meeting and the press conference that Mario Draghi will host on the back of it. Market participants are very keen to find out what is the outlook of the central bank for the Euro area regarding its inflation and growth forecasts and whether they are concerned about the potential repercussions of a Brexit.
As such we expect elevated volatility while the ECB President will be speaking while we also need to remain vigilant of any fresh news or polls from the UK on the EU referendum while the Pound continued to decline yesterday as a result of the most recent poll that showed that the Exit vote is closer than expected to the Remain one.
Price action highlights
The Euro extended its correction all the way to the outmost highest level it could as the currency climbed to the 1.1200 resistance area in light of the ECB meeting and the pause of Dollar’s advance as investors are shifting their attention on the European currency. From here though the price action will totally depend on ECB’s growth and inflation forecasts, Mario Draghi’s tone during his press conference and any hints for further easing or not. To the upside the next level of focus lies around the 1.1250 area while a reversal and a push lower again will drive the Euro towards its 1.1000 lows.
The Cable was weak for yet another 24 hours as the results of the recent EU referendum poll caught investors off guard and the decline extended to the 1.4400 level before the end of the day. Higher Manufacturing PMI levels went unnoticed as investors have focused their attention on a potential exit of the UK from the EU and all their trading has to do with weighting the probabilities of such a development. As we move closer to the referendum date we expect more volatility which will be totally dependent on fresh news or polls.
Focus of the day
The ECB meeting on monetary policy and ECB President Mario Draghi’s press conference on the back of it will undoubtedly be in the centre of investors’ attention today. Apart from that the UK Construction PMI before the ECB event and the Initial Jobless Claims reading after will complete the important events of the day ahead while we always remain vigilant of any fresh Brexit polls.
Economic Calendar
Source: http://investingbetter.com/daily-an...om-the-dollar-and-focuses-on-the-ecb-meeting/
