Market News and Charts For August 3, 2020

Market News and Charts For August 3, 2020

GBP/USD

British Pound and US Dollar will aggressively go head-to-head this week. We are waiting for the Bank of England to make an announcement this Thursday and shed light on the financial stability. Evidence provided on strains and imbalances can provide insight into the future performance of the currency and monetary policy moving forward. After the recent and continuous surge of British Pound, it is expected that the UK central bank will leave the policy unchanged, however voting is yet to undergo.

 

After its recent disastrous performance by USD, United States need to stabilize the heavy slide. Naturally, Non-farm payroll will determine the course events. If the reading is higher than expected, then US Dollar will have a great chance to recover for the time being, while lower reading that expected will be taken as bearish for the USD

EUR/GBP

Both Euro and British Pound had a positive trend last week towards the end of the month. As markets opened in August, sellers appeared in both currencies, which resulted into the continuation of the long trend characterizing the pair since the beginning of April. The figurative stalemate that exists between the buyers and sellers of EUR/GBP forces traders to work with either side of 0.9000. The recent low of 0.8947 should remain unchanged unless Fibonacci retracement at 0.8891 gives in. While the recent high sits at 0.9145, further upside is rendered highly possible.

tmn-blog-img-310

NZD/USD

New Zealand Dollar is looking to continue its recent appreciation against its main counterparts. Upcoming employment and inflation data should be able to sustain the performance of NZD until the August 12th when Central Bank is making an announcement on the New Zealand’s interest rate decision. Considering the recent non-aggressive approach of RBNZ, it’s expected that New Zealand will closely monitor the results achieved by the Reserve Bank of Australia, and act accordingly.

 

It is also noteworthy, that RBNZ has hinted on using negative interest rates which now is standing at 0.25%. The lower limit gives the financial system operational readiness for very low or negative interest rates.

Sending
User Review
0 (0 votes)

RELATED POSTS

Leave a Reply

tmn-img-28-1

Share this on

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn

Rec­om­mended for You

Subscribe to Our Newsletters

Have The Best Of Trade Market News Delivered Directly To Your
Mailbox. Subscribe To Receive The Latest Market News.