Argentina’s peso sinks to an all-time low as the country reaches for IMF aid – RISK 1
- The Argentine peso hit a record low versus the dollar on Friday.
- Even three rate hikes by the Central Bank of Argentina last week couldn’t help the currency.
- Follow the Argentine peso in real time here.
The Argentine peso spiraled to an all-time-low Friday, dropping nearly 6% after the government reached out to the IMF in a desperate attempt to prop up the worst-performing emerging market currency this year. Read More @ http://markets.businessinsider.com/news/stocks/argentina-peso-all-time-low-reaches-for-imf-aid-2018-5-1024139857
The Indian rupee is under pressure — that may signal economic trouble ahead – RISK 2
- The Indian rupee, which hit its lowest in 15 months against the U.S. dollar on Monday, is expected to depreciate even more, analysts said.
- The weakened currency signals potential troubles that await Asia’s third-largest economy amid higher oil prices and rising interest rates in the U.S., analysts said.
- India’s current account and fiscal deficits mean the central bank may have little room to tap into its reserves to to defend the currency. Read More @ https://www.cnbc.com/2018/05/07/indian-economy-rupee-depreciates-on-higher-oil-prices-capital-outflows.html
Brexit seen threatening UK links in EU supply chain – Risk 3
Mandy Ridyard knew Brexit was going to be a challenge for her aviation components firm, but it was still a shock when she heard a French company bluntly ruling out British suppliers from an international bid for a contract in China. Read More @ https://www.reuters.com/article/uk-britain-eu-aviation/brexit-seen-threatening-uk-links-in-eu-supply-chain-idUSKCN1IE09I
WHAT IS THE USD INDEX SAYING FOR MONDAY?
USD is forming a Bullish Flag for a next run. Be cautious and wait till the pattern is clearer before jumping into a Trade.
MONDAYS NEWS THAT MIGHT AFFECT YOUR TECHNICAL TRADES.
- This week China will focus on Foreign Direct Investment and we are expecting huge volatility for AUD, NZD and CAD. Be cautious and always put money management in place.
- 2.00pm – Japan will release Prelim Machine Tools orders – expecting good data. Time to BUY JPY.
- 2.45pm- FOMC member speaks – expect volatility in favor for USD.
The market will be quiet till the US Stock Exchange opens.
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.