Month: February 2020

AUD/USD Slips to Fresh 2020 Low as RSI Dips Deeper into Oversold Zone

Has the uptrend in AUD/USD reached a breaking point? Is there any way back out?

If you look at the current market trends, the Australian dollar is setting new highs against its major peers. There is one currency that has maintained the resistance level and one that is setting the lowest points of resistance. The Australian dollar (AUD/USD) has been testing that point since last year and has managed to break through it.

So, what is the issue? Deep in the pivot area of the strong retracement at the low of December 2020, the AUD/USD is slipping into oversold territory. The major bearish pressure was triggered by the United States Federal Reserve's December announcement of continued policy tightening. Following the decision, the USD appreciated aggressively against major currencies and the AUD has performed poorly, losing around two percent of its value.

Bearish sentiment is enhanced by expectations that the US Federal Reserve will soon go from their ultra-easy monetary policy stance to a stricter approach. With the strong support level falling away, this will open the door for new lows and for more potential sideways price movement in the AUD/USD.

If you are familiar with the Australian dollar, you will understand the importance of this key area. Most of the past rallies have occurred in this zone. In fact, most of the bullish rallies have taken place in this part of the chart. But the large bears have found ways to take advantage of this weakness.

It is important to realize that not all currency pairs are going to be volatile. As a trader, it is important to not succumb to emotions and be able to pick up on the signal of strength from that breakout or the weakness from the correction.

Now, it is also worth noting that the AUD/USD is a very important currency pair. The low of December is such a strong resistance level because it is the pivot of this big rally against the major currency pairs.

If you are willing to hold your position and hold your profits until the end of the year, then this type of currency pairs usually do offer good resistance levels. If you are in a downtrend and are looking for good support, then the weakness in the AUD/USD at the low of December is a very good time to put your money to work and win trades.

If you are looking for a breakout or a reversal, then you may want to consider those two currency pairs at the low of December. Of course, the strengths and weaknesses of each pair should be taken into account before deciding on a trading strategy.

However, the large global market players have often been prepared to take risks in currency pairs with strong fundamentals. There has never been a better time to decide whether the AUD/USD is set for a breakout or if the downside is too great to justify the trade.

The next few months will be very important to determine if the AUD/USD is set for a breakout or if the weakness at the low of December is a warning sign that there are large systemic risks associated with currency pairs that have weak fundamentals. fundamentals.

The charts suggest that there are some strong currency pairs that can perform well at lower levels than the current low of December and that is a good time to consider. their positions.

Crude Oil Prices Down, Near Term Production Cut Hope Fade

Crude Oil prices are going down, and the fundamentals of the economy are not helping the case for a further cut in production. Some traders believe that lower prices will make U.S. producers less competitive and reduce their willingness to agree to a production cut. Others, however, see the opposite possibility.

It's a good idea to watch the price of crude oil closely in order to get an accurate picture of where prices will go. Speculation is always an issue, so it is wise to be careful how you weigh your arguments. More accurate analysis comes from using the market data to determine if the current price is fair and if it will remain stable. Of course, there is also the question of what we can do about it.

The price of oil has a constant relationship with supply and demand. The reason for this is that while the United States produces more oil than it needs, other countries such as Canada and Mexico have a surplus of oil because they produce so much more than they need. In order to keep the global economy moving forward, it is important to keep the number of barrels needed up while restricting the amount of oil that is produced.

For several years, there has been a lack of political will and there has been a lot of talk about making changes to our energy policy. However, because there is little support for making any significant changes, the current administration has little incentive to make significant changes either. Unless a major upheaval occurs that leads to a change in government policies, the idea of further lowering of the oil output levels is unlikely.

Crude oil prices are likely to go down for a period of time and for some time to come. This is good news for people who sell oil on the futures market. After all, the value of the price of oil is directly tied to the level of demand. That means that if demand continues to increase, the price of oil is likely to go down.

For those investors who hold oil on the futures market, there is no way that the oil prices can continue to stay at these levels. If the prices go down, most of the purchases by traders will be discontinued. At this point, only small holders can hold out for the prices to rise again, but this is very unlikely to happen.

Right now, the near-term prospects for crude oil prices are very poor. Unless something dramatic changes, the oil market will be hit with a period of severe under-production. Since the prices of gas, food and other commodities have risen, the least that consumers can do is continue to cut back on their consumption.

After this period of under-production, the oil prices are likely to rise again as we begin to enter into a stronger recovery. During this time, traders will still need to diversify their portfolios. However, the timescale for the profits to start increasing again will be slow as we continue to work through the current period of under-production.

As long as oil remains so cheap oil will continue to help prop up the economy and this will help keep inflation under control, especially in an environment where the global economy is still recovering from the recession. This can only mean one thing - lower rates for consumers and a weaker dollar.

At the near term, the only way that prices are likely to fall is if the production levels decline significantly. Right now, this seems unlikely because no nation wants to make cuts, given the damage that would be done to their finances and their competitiveness. Instead, production levels are likely to rise, particularly in the Middle East.

In the near term, prices are likely to go down because no nation wants to curtail production at this point. Most oil producing nations will need to boost their supply in order to compete and if they go over their daily capacity, it is unlikely that oil prices will decrease as they rise again. as demand will increase.

Australian Dollar Outlook Bearish as AUD/NZD Resumes Retreat

You may be surprised to learn that Australia's currency has been in a "bearish" state for quite some time. The fact that it has actually been out of a bearish state for several years now, and has remained so over the past few months, is something that many Americans would not be surprised to hear. Although they would probably agree that Australia was hit hard by the Euro crisis, they are much more concerned that Australia's economy might be facing a difficult time.

A number of factors have made this country more vulnerable than many of its peers. One of these factors is the surge in commodity prices over the past two years. Another factor is the fact that the Australian dollar has risen significantly in the past several months.

And yet another factor has been the "bad news" which the Australian government has published on its Economic Statement of the Government. One factor which has come under considerable criticism is the fact that the Australian government has said that the country has an excess of money, and therefore, cannot maintain its economic growth. These particular words were all the more harsh given that Australia is a part of the OECD (Organization for Economic Cooperation and Development) and has a strong trading relationship with the rest of the world.

This is a country that has had to deal with many economic problems throughout the past decade. At one point, Australia was considered a "nice place to do business" due to its "unmatched" political stability, and its willingness to take on the obligations which were imposed upon it by the International Monetary Fund (IMF).

Today, Australia is at risk of another financial meltdown, this time, over the country's currency. Not because it has run out of money, but because it has increased in value, even more than the US dollar.

According to John Keane, the founder of a respected brokerage firm, ANZ, Australia could be suffering from what has been termed as a "McDonald's effect." In other words, a constant and pronounced depreciation of the currency. He says that a number of banks have indicated to him that they are concerned about their liquidity.

Another problem which has been on the minds of a large portion of the Australian population, is that if the exchange rate rises, how will they be able to purchase necessities when the "big boys" do not supply them with the necessary amount of money? But the answer to this is that they will only be able to purchase necessities with the Australian dollar.

If you look at the purchasing power of the Australian dollar in relation to the US dollar, you can see that Australia is not far behind the US in terms of purchasing power. According to the Reserve Bank of Australia, the exchange rate with the US is relatively close to its average for the past four years.

This means that despite the fact that Australia's economy is currently thriving, it may not be able to maintain its current level of activity for very long. After all, this is a small nation, which does not have the resources that America possesses.

Although there is no immediate threat to the Australian economy, the problem of a weakening currency is causing a stir among analysts, as more experts begin to worry about the future of the Australian economy. If Australia's monetary policy continues to follow the path that it has taken in the past few years, then Australia will be forced to struggle to maintain its economic growth for the foreseeable future. In order to avoid the "McDonald's effect," Australia should adopt a very aggressive stance with regards to raising interest rates. The Australian government should recognize that if they continue on this path, they will eventually lead to a sharp fall in the country's currency.

Sterling Weakens Ahead of Preliminary EU-UK Trade Talks

Sterling could weaken ahead of Preliminary EU-UK Trade Talks as the UK's departure from the European Union makes it more likely that negotiations would need to take place at a higher level of speed. However, this does not mean that the UK cannot gain access to other markets, and the gains are huge.

Sterling is a very strong currency in the context of the rest of the world due to its relationship with the US Dollar. Therefore, this means that when the US Dollar depreciates against other currencies, then the pound can also depreciate (or rise) in the same way.

This will happen because countries outside the EU trade more and therefore they would have a greater desire to have access to these markets as well. It is possible that the UK will not be able to negotiate a bilateral deal that allows it to trade freely in one of these markets.

These trading partners include some of the largest economies in the world, namely the United States, Japan, Australia, Canada, and most importantly, the European Union. The EU comprises over 50% of the world's population and it has a trade volume roughly equal to the US and China.

If the UK were to continue on the same trading levels as it was at during the period prior to the UK's withdrawal from the EU, this would mean that the British economy would only compete against the economies of European countries. In addition, the UK would not be able to create its own external trading market, therefore it would only benefit from the trade deals it has with the EU and the USA.

Although the economy may experience a significant decline in trade over the next few years, the referendum will likely allow the UK to renegotiate some trade deals, and this can only be beneficial for the British economy. Sterling is also very attractive in comparison to theEuro as well as the US Dollar, so if it was seen that the UK could be able to maintain the current trading level, this would imply that the Bank of England was going to raise interest rates in order to maintain economic growth.

There have been many issues surrounding the negotiations of the Preliminary Trade Talks between the UK and the EU. In recent days, there has been much speculation regarding the issue of agriculture and animal welfare laws, which are needed to make sure that animals are treated humanely.

If the UK were to leave the EU on animal welfare grounds, then this would affect agricultural trade in the UK and this could lead to lower prices for consumers. Obviously, this would hit agricultural producers hard, but this could be considered a victory for consumers.

This could lead to more production, and therefore the country could become better off through increased trade deals, while other countries would not. The EU would benefit as well, as animal rights would put pressure on other countries in other fields, like in the fishing industry.

The ongoing debate could mean that Brexit becomes more likely, especially if the EU is able to win concessions on some of its trade deals with the UK. This is why the government must be careful in how it negotiates the deal.

For now, the Preliminary Trade Talks is going to be an extremely important part of the British economy. They can either boost the economy, or they can be extremely damaging, but if the negotiation goes smoothly, it could lead to great growth.