FX traders are about to enter an action-packed next 72 hours, with BOE Minutes, monetary policy decisions from the Fed and SNB, the ECB’s TLTRO auction, and of course, the result of Scotland’s highly-anticipated independence referendum all scheduled for release by the end of the week.
As my college-aged cousin informed me this weekend, getting “turnt up” is the latest slang that kids are using these days to describe partying. Personally, I was still catching up to “putting on the ritz” to attend a classy “soiree.” Regardless, his comment prompted me to scan my forex charts and see which currency pair is getting “turnt up” the most, which naturally led me to GBP/JPY.
Unless you’ve been living (and trading) under a rock over the last month, you know that the U.S. dollar has been surging against all of its major rivals since mid-August.Unless you’ve been living (and trading) under a rock over the last month, you know that the U.S. dollar has been surging against all of its major rivals since mid-August.
Since late March, AUDUSD(CME:ADZ4) has been trapped in a tight range between support at .9200 and resistance at .9500. Over that time period however, the price action has carved out a large head-and-shoulders pattern.
While most analysts and investors expect Venezuela and its state-owned oil company to make $5.3 billion in bond payments coming due next month, concern is mounting the country may find itself without enough cash to service debt as soon as next year as foreign reserves drop to an 11-year low.
It’s been a whirlwind of a morning for U.S. traders, who have been treated to four top-tier monetary policy decisions in last twelve hours (BoJ, Riksbank, BoE, and ECB), as well as some of the most reliable leading indicators for the U.S. labor market.