The euro dollar forex trading forecast for EURUSD today 08/07/2019
The impression is that investors are too optimistic reacted to Friday's release of the US labor market in June. Firstly, the average wage growth rate was 3.1%, which is worse than expected median. This indicator peaked in February (3.4%), after which we are witnessing a negative trend. Secondly, the unemployment rate increased by 0.1% to 3.7% mark, which is also worse than expected median. Full unemployment U6 form is also increased by 0.1%. Third, the Non-Farm figure though was significantly better than the consensus forecast, but were lowered assessment for May and April. Obtained from the three major indexes, only one came out positive, and that a correction of the previous months. If you watch the trend in the second quarter, it was created 533 000 new jobs, which is 25.9% lower than a year earlier. Recall In the first quarter figure was also down, but at 18.6%. It turns out that the negative trend is increasing. In the first half it was created just over a million new jobs, which is 22.3% less than in the first half of 2018. The futures market in Chicago has not changed their expectations - the likelihood of the Fed rate cut on 31 July and 18 September was 100% and 65% respectively.
EUR / USD recommendation: Buy 1.1219 / 1.1200, and take profit 1.1260
Pound Dollar GBPUSD forex forecast for today 07/08/2019
The British pound is trading at five-month low, and, in my opinion, there is a technical correction upwards for two reasons. First, the profitability of the UK two-year government bonds demonstrates growth and is less than 0.25% of the Bank of England's rates. Credit market calms down and the mute is not set to an aggressive cut in interest rates by the British central bank. Second, the upward trend in the oil market have a positive impact on the cost of the British currency, as between GBPUSD and #BRENT there is a direct correlation.
GBP / USD recommendation: Buy 1.2520 / 1.2495, and take profit 1.2585
Dollar yen USDJPY Forex forecast for today 07/08/2019
At present, formed a positive background. Firstly, we have seen gold sales - investors are actively selling the precious metal, which is once again trading below the psychological level of $ 1,400 / ounce. This positive signal for USDJPY, because steam has an inverse correlation with the "yellow metals". Secondly, after Friday's correction on the stock markets, can be expected to increase long positions that have a positive impact on quotations of USDJPY. The world's leading central banks are planning in the coming months to mitigate the monetary policy, which is a positive factor for the stock markets.
USD / JPY recommendation: Buy 108.10 / 107.90 and take profit 108.64