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07.02.2019 09:51 AM
Trading plan for 02/07/2019

The dollar continued to strengthen, although a correction was expected long ago, but this was apparently prevented by Donald Trump, who made an unequivocal statement during his speech before Congress. The President of the United States has long praised his successes in the economy, which, according to him, shows the best results in recent decades. However, the owner of the White House added that this should not be stopped, and it is still necessary to revise just enslaving trade agreements. Bonded they, of course, are for the United States. At least that's what Donald Trump is constantly talking about. It follows from his words and actions during the years of his presidency that the policy of squeezing foreign capital from the American market will continue. Also, the United States will simply squeeze out privileges for its capital in foreign markets. By any means. Both political and military. Naturally, this alignment is not particularly encouraging investors, especially those who are thinking of investing in Europe or China. As for China, the trade agreement has not yet been signed with it, although the topic is actively being discussed that everything will be completed soon. But, judging by the rhetoric of Donald Trump, the United States intends to bend its line here too. So there is more than enough uncertainty.

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Nevertheless, the correction suggests itself, but it seems that today it is worth forgetting about it. First, a meeting of the Board of the Bank of England will be held with a subsequent press conference of Mark Carney. Obviously, there will be no change in monetary policy, and the head of the Bank of England himself will certainly talk about the terrible consequences of Brexit for the British economy. This has already been stated many times, and even spoke of parity with the dollar. So the pound will be under pressure. Secondly, additional support for the dollar should be provided by data on applications for unemployment benefits, the total number of which may be reduced by 94 thousand. In particular, the number of initial applications should be reduced by 32 thousand, and repeated ones by 62 thousand.

Since the beginning of the month, the euro / dollar currency pair shows a steady downward trend, reaching a periodic value of 1.1350 on the current day. Probably assume a deceleration within this value, where in the case of mining we are waiting for the rollback phase.

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The currency pair pound / dollar reached the level of 1.2920, after which the stagnation phase began. It can be assumed that the current bumpiness 1.2920 / 1.2970 still persists, where traders make a stretch of pending orders.

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Mark Bom,
InstaForex के विश्लेषणात्मक विशेषज्ञ
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