Treasury Secretary Mnuchin says stronger dollar is in the best interest of the country
- Treasury Secretary Steven Mnuchin says a statement he made earlier this week that shook the dollar was taken out of context.
- He says he isn’t concerned with where the currency is in the near term but believes a strong dollar is better in the long run. (Clear message) – we sell the USD. Read More @ https://www.cnbc.com/2018/01/26/treasury-secretary-mnuchin-says-stronger-dollar-is-in-the-best-interest-of-the-country.html
OIL IS STILL THE MAIN STORY FOR THE USD – INVERSE CO-RELATION
Saudis’ oil supply cuts to boost prices risk revival of US shale industry – OIL WAR JUST STARTED.
audi Arabia’s dream of securing a US$100 billion ($136b) windfall from the IPO of Aramco may be clouding its judgment. The kingdom needs higher oil prices to entice international investors to buy a stake in the state-owned company, which supplies almost all its crude. Using its clout to restrict global supplies and pump up the cost of its barrels makes the mega-offering look more appealing, but the move has also revived the kingdom’s biggest enemy in the form of US shale oil. Read More @ http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11983504&ref=rss
Fed to take a step toward a March interest-rate hike – won’t make any difference for Technical Traders.
The Federal Reserve will make subtle, hawkish, changes to its statement next week to confirm what the market now expects: a rate hike is coming in March. The members of the Fed’s interest-rate setting body will want to send “some modest signal” that a rate hike is very likely at the March meeting, said Thomas Simons, a money market economist with Jefferies. Michael Pearce, senior U.S. economist at Capital Economics, agreed, saying the signal of a March rate hike can be small, even just a change in tone. “It doesn’t need to be much,” he said. The Fed doesn’t have to bang its shoe on the table because the market already thinks a hike at the March 20-21 meeting is a done deal, economists said. For the last month, expectation of a March rate hikes “have been a one way bet, with the street grinding expectations higher,” said Pearce. Read More @ https://www.marketwatch.com/story/fed-to-take-a-step-toward-a-march-interest-rate-hike-2018-01-26
GBP MIGHT TAKE A GAP DOWN MONDAY MORNING – we will buy the GAP.
Theresa May told: raise your game in three months or face revolt
- 3.00pm – the German will take the first price movement with German Import Prices – we buy EURUSD.
- 9.30pm – Expect some good volatility when US release the Personal spending and Personal Income – both in which believe there won’t be much change or maybe even weaker. We maintain our SELL position for USD.
Be cautious this week as the FOMC is around the corner on Thursday.
High Risk Investment Warning:
Please note that Forex and other leveraged trading involves significant risk of loss, It is not suitable for all traders and you should make sure you understand the risks involved, it is recommended that you seek an independent advice, if necessary