The biggest risk is not taking any risk in a world that changing really quickly, the only strategy that is guaranteed to fail is not taking risks.
The Single currency lost vigor to trade below $1.1300 this morning after the Fed’s sobering outlook cast doubt on hopes for a V-shaped recovery from the pandemic.
The pound fell sharply against the dollar to $1.2577 and ended its three-week winning streak as bets against sterling hit their highest in eight months amid ongoing Brexit worries.
The safe-haven yen held on to gains at 107.10/dlr on renewed doubts over the prospects of a quick recovery in the global economy.
The Australian plunged to $0.6845 as investors wagered domestic interest rates would stay low after the U.S. Federal Reserve pledged to stay near zero through at least 2022.
The South Africa's rand nosedived to 17.11 against the U.S dollar as global investors dumped riskier assets and dismal domestic data drove home the economic impact of the COVID-19 pandemic.
The USD/MUR rose by 15 cents to 40.25(selling) on the domestic market.
10:00 - GBP - Manufacturing Production (MoM) (Apr)
10:00 - GBP - GDP (MoM)
10:00 - GBP - GDP (YoY)
- From an Elliott Wave standpoint, USDCHF could potentially unfold into compelling impulsive Wave C of the zigzag correction of Wave (2) to a narrowing region 0.9550 (50% retracement of Wave (1)) to 0.9395 (100% projection of Wave A through B) in the near term trend, from the downside bias from April 6th high of 0.9797.
- Price could immediately start to shoot back up into Wave (3) on a longer perspective.
- Piercing above the resistance 0.9905 would endorse the structure.
- Alternatively, broader bearish invalidation of Elliott Wave Structure rest at 0.9191 of March 9th low while Relative Strength Index signals a bullish recoil higher for the pair.