Wonderful introduction:
Spring flowers will bloom! If you have ever experienced winter, then you will have spring! If you have dreams, then spring will definitely not be far away; if you are giving, then one day you will have flowers blooming in the garden.
Hello everyone, today Avatrade Aihua Foreign Exchange will bring you "[Aihua Foreign Exchange Decision Analysis]: Geopolitics casts the release of data that began this week." Hope it will be helpful to you! The original content is as follows:
After the U.S. bombing of several nuclear power plants in Iran over the weekend, geopolitical tensions in the Middle East have further escalated, and the market turned to risk aversion at the beginning of this week. Preliminary data on June Purchasing Managers Index (PMI) for the euro zone, the UK and the US will be released on the economic calendar on Monday. Policymakers of the European Central Bank (ECB) and the Federal Reserve (Fed) will also deliver speeches throughout the day.
In response to the U.S. attack, the Iranian parliament approved a measure to close the Strait of Hormuz, an important offshore channel through which about 20% of global oil and gas demand flows, and oil prices have since soared at the opening weekly. The final decision will be made by the Supreme National Security www.avaforexcn.committee. While Iran's attempt to block the Strait of Hormuz was still short-lived in the past, oil prices rose sharply early Monday as the U.S. Navy took quick action.
Basic foreign exchange market trends:
The US dollar index opened with a bullish gap this week and then fell slightly. As of press time, the US dollar index was trading in the positive zone around 99.00. On Tuesday, Federal Reserve Chairman Jerome Powell will submit a semi-annual monetary policy testimony to Congress. Meanwhile, U.S. stock index futures remained flat in early European trading.
Data from Australia earlier in the day showed that the S&P Global www.avaforexcn.comprehensive Purchasing Managers Index rose from 50.5 in May to 51.2 in June. The data shows that private sector business activity is growing at accelerating. Despite the optimistic data,The AUD/USD is still at a disadvantage and traded in the negative area below 0.6450.
Euro/USD stabilized at around 1.1500 in early European session on Monday. Germany's HCOB www.avaforexcn.comprehensive purchasing managers index rose from 48.5 in May to 50.4 in June (preliminary). Later in the day, ECB President Christine Lagarde will deliver an introductory statement at a hearing of the European Parliament's Economic and Monetary Affairs www.avaforexcn.committee in Brussels, Belgium.
GBP/USD fell nearly 1% the previous week and slightly lowered during the Asian session on Monday. The pair rebounded from daily lows and traded around 1.3450.
The US dollar/yen rose on Monday, trading above 147.00, its highest since mid-May.
Bulle market fundamentals:
Gold prices maintain the tone they provide in the first half of the European session, despite lack of follow-up actions in the case of mixed fundamentals. The U.S. attack on Iran’s nuclear facility on Sunday increased the risk of wider conflict in the Middle East and is currently hovering just above $3,350.
Analysis of major currency trends:
Euro: Euro/USD consolidates below 1.1630, and intraday bias remains neutral. A further rebound is expected when the 1.1372 support level is intact. Breakthrough of 1.1572 will continue the upward trend from 1.0176. The next target is to forecast 1.0176 to 1.1572 from 1.1064 to 61.8% of 1.1572. However, a breakout of 1.1372 support will indicate a short-term peak and turn down for a deeper pullback.
AboveThe content is about "[Aihua Foreign Exchange Decision Analysis]: Geopolitics casts the release of data starting this week" and is carefully www.avaforexcn.compiled and edited by Aihua Avatrade Foreign Exchange editor. I hope it will be helpful to your transactions! Thanks for the support!
After doing something, there will always be experience and lessons. In order to facilitate future work, we must analyze, study, summarize and concentrate the experience and lessons of previous work, and raise it to the theoretical level to understand it.