Sterling in the Spotlight as Pressure on Rate Hike Increases.
This article is originally referred from FXPrimus News.
FXPrimus has provided the important market indicators to focus on today.
Today’s Important Indicators
A busy session starting with UK’s Average Earnings Index release, Claimant Count Change and Unemployment Rate at 08:30 GMT.
The session will continue with the U.S. Core PPI report and will be followed by the Crude Oil Inventories, at 12:30 and 14:30 GTM respectively.
Today’s Forecast for Important Trading Indicators
- GBPUSD – Sterling hits a 1-Year high on CPI inflation rate rise, interest rate hike pressure increases. The British Pound reached a high of $1.3314 following the release of a 2.9% CPI figure yesterday while expectations were in for 2.8%, much higher than the long term average of 1.80%. The stronger release triggered fresh speculation as GBPUSD broke a key resistance of 1.3223 while a retest of the same level confirmed a bullish bias. The next Fibonacci Extension of 61.80% is around 1.3354 which could be hit in the positive outcome of today’s Average Earnings Index , at 08:30 GMT.
- USDJPY – Dollar climbs higher against Yen breaking 110.00 while JOLTS unexpectedly rise. Dollar gained for a consecutive session against the safe-haven Yen as risk-on demand increased on fears weakening. The pair crossed above the 200 4-HMA and bounced off at the top of the descending channel started on the 27th of July. Sentiment was supported by weak Japanese data early on the Asian session but this as short-lived. Investors eye the US PPI and Crude Stocks releases today, at 12:30 and 14:30 GMT respectively.
- EURUSD – Euro remains below $1.20 against Dollar, tilts higher despite positive U.S. data. Euro settled marginally higher from the opening price on positive Italian Unemployment data, despite a weak French report on Employment. Euro moved lower below the 61.80% Extension at 1.1946 only temporarily and since it has been on an upmove reaching 1.1980 despite the positive U.S. JOLTS figures.
- USOIL – Oil marginally higher on API report and a decline in OPEC’s production. Crude Oil appreciated to $48.65 as API reported less than expected inventories for the week ending September 8. The unexpected figures came from Libya than saw a decline of 112,300 barrels in August. In addition, OPEC’s production saw a decline amid Saudi Arabia’s cut, producing 30.004 million barrels daily. Investors focus on EIA’s release later on today.
- XAUUSD – Gold seems to have found support around $1325.00, retesting the level upside down. Gold price remained sort-off muted during yesterday’s session, signalling Gold may be finding its footing at the critical level aforementioned, which happened to be the 38.20% Fibonacci Retracement started on the swing low of $1276.00, on August 25th. Gold price has been also affected by the recent raise in Bitcoin, as investors and traders jump ship for the overtraded cryptocurrency.
- In US Indexes, S&P 500 closed 0.34% higher while DJ raised 0.28%.
- In Europe, UK 100 decreased 0.17% while DE 30 appreciated 0.40%.
- In Asia, ASX 200 closed marginally higher, Nikkei jumped 0.45% higher and Hang Seng fell for 0.34%.
- In stocks, Twitter climbed the ladder 2.89%, with BoA following behind with an increase of 2.53%.
Original Source: FXPrimus News