Short, short, short
This week, well it has been extremely strong for the Dollar, continuing to perform strongly in the Cable market. Pushing the pound lower and lower on Thursday and Friday after a nice rally during Wednesday.
Tuesday's focus was just the Australian CPI q/q. Which came out below forecast at 0.6%. This didn't do huge damage because the forecast was already much higher than the previous quarter, the AUD/USD fell from 0.7830-0.7820 before continuing to decline down to a low this week of 0.76235 on Friday.
Wednesday morning, the UK released their Prelim GDP for the quarter, with the result being above forecast by 0.1% at 0.4%(Forex Factory, 2017). The implications of this were small against the dollar but later in the day the pound did experience a very impressive but short rally in the cable market, hitting a high of just above 1.326 before plateauing and continuing on the bear trend which it has been experiencing for quite some time now.
In the mid afternoon of Wednesday the US released their monthly Core Durable Goods Orders result, which was above expected at 0.7%, this as always helped further damage the direction of the cable. But the Durable Goods Orders which was released at the same time offered much more interest. Expected was only 1% however actual was 2.2%, this strong positive result as stated above help continue to up-shift the position of the dollar against many other major currencies.
Thursday we saw the mighty release of the weekly US Unemployment Claims, which I always underestimate in terms of effect on the market. Actual was below but only by 2k at 233k(Forex Factory, 2017). As you have guessed by now, this only further damaged the cable market, continuing the fall from Wednesday were it now sits at just above 1.31 on Friday afternoon.
For those of us holding the short position on Gold its been a very good week, hitting a high of just below 1284 on Tuesday but after it has been a fairly consistent downward trend. With the dollar still holding such a strong position against so many majors it could lead to an even further full, the bear trend still is very visible. Today Gold fell below 1266 after the release of US quarterly Advance GDP after it was above forecast at 3.0%.
However after the US stock market opened this afternoon(English time) it has caused a very strong surge in the Gold Market, currently up to 1271$ per ounce. Which is incredible, I don't believe this will hold, there isn't any data released till Tuesday which will really effect the Dollar so this rally(which is strong) will stop. Therefore, I am going to hold my bearish position and will see how this plans out. On Sunday I will update you on the week ahead and what happened to Mr Gold.
Peace out.
Tuesday's focus was just the Australian CPI q/q. Which came out below forecast at 0.6%. This didn't do huge damage because the forecast was already much higher than the previous quarter, the AUD/USD fell from 0.7830-0.7820 before continuing to decline down to a low this week of 0.76235 on Friday.
Wednesday morning, the UK released their Prelim GDP for the quarter, with the result being above forecast by 0.1% at 0.4%(Forex Factory, 2017). The implications of this were small against the dollar but later in the day the pound did experience a very impressive but short rally in the cable market, hitting a high of just above 1.326 before plateauing and continuing on the bear trend which it has been experiencing for quite some time now.
In the mid afternoon of Wednesday the US released their monthly Core Durable Goods Orders result, which was above expected at 0.7%, this as always helped further damage the direction of the cable. But the Durable Goods Orders which was released at the same time offered much more interest. Expected was only 1% however actual was 2.2%, this strong positive result as stated above help continue to up-shift the position of the dollar against many other major currencies.
Thursday we saw the mighty release of the weekly US Unemployment Claims, which I always underestimate in terms of effect on the market. Actual was below but only by 2k at 233k(Forex Factory, 2017). As you have guessed by now, this only further damaged the cable market, continuing the fall from Wednesday were it now sits at just above 1.31 on Friday afternoon.
For those of us holding the short position on Gold its been a very good week, hitting a high of just below 1284 on Tuesday but after it has been a fairly consistent downward trend. With the dollar still holding such a strong position against so many majors it could lead to an even further full, the bear trend still is very visible. Today Gold fell below 1266 after the release of US quarterly Advance GDP after it was above forecast at 3.0%.
However after the US stock market opened this afternoon(English time) it has caused a very strong surge in the Gold Market, currently up to 1271$ per ounce. Which is incredible, I don't believe this will hold, there isn't any data released till Tuesday which will really effect the Dollar so this rally(which is strong) will stop. Therefore, I am going to hold my bearish position and will see how this plans out. On Sunday I will update you on the week ahead and what happened to Mr Gold.
Peace out.
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