Today’s Pre-Dawn will be dedicated to trendlines and stochastics and I will highlight 4 markets worth a good look (with the charts attached).
The Dollar continues to hold a competitive advantage over most major currencies and remains a safe-haven destination of choice, so it may take an Initial Jobless Claims reading above the 300,000 level to take prices…
From the overnight session, the aussie is up 32, the pound is up 13, the Canadian is up 8, the yen is down 63, and the dollar is 4.
From the overnight session, the aussie is up 5, the pound is down 5, the Canadian is up 6, the euro is down 27, the swiss is down 21, the dollar is up 12.9.
In fact, seeing Euro zone producer prices in August contract again simply highlights an environment where the Euro needs to move even lower until the exchange rate allows the Euro zone to borrow strength from its trading partners.
The U.S. dollar continues to stand up to its fellow G-10 competitors.
On Tuesday the U.S. dollar rose to its highest level in fourteen months against the euro as investors expected the Federal Reserve would increase interest rates sooner than initially forecasted.
I wasn’t able to get any Pre-Dawn Updates out last week but I will do my best to get another one out this week before the 3 day Holiday weekend! Markets are closed on Monday for Labor Day.
The Australian dollar rose to a two week high after inflation, prompting markets to reduce the chances of a possible interest rate cut later this year.