Six of the nine markets I follow are setting up for trending price moves for this coming week. Gold, the euro and the Japanese yen are the most favorable for wide-ranging moves. The British pound, Aussie dollar and soybeans are also flashing trending pivots on the upcoming week.
The euro, in particular, has been very strong over the past several months amid speculation that the ECB would end its QE purchases programme earlier than expected due to consistent improvement in Eurozone data and higher rates of inflation.
Based on the continuing uptrend in the stock market, investors are relatively unperturbed despite of a highly possible government shutdown. As they are now, U.S. stocks were in a prolonged uptrend heading into the shutdown.
U.S. equity markets are seen reversing Thursday’s losses at the open on Friday, even as investors prepare for the first government shutdown since 2013 if the Senate doesn’t pass a temporary spending bill.
The International Energy Agency came out with an “explosive” report talking about “explosive” production growth as the United States will become the undisputed leader in global oil production. Take that Saudi Arabia and Russia! The agency that is known by traders as the agency that has way underestimated, is now proclaiming the United States as the new global energy powerhouse, a moniker by the peak oil freaks and the Obama Administration that was thought to be impossible.