EUR/USD slipped 0.2% to 1.0820 as German Chancellor Merz's statement ruling out Putin-Zelensky peace talks heightened geopolitical tensions in Europe. The announcement follows the unsuccessful Putin-Trump meeting, confirming no immediate ceasefire prospects in the Ukraine conflict. Markets are pricing in prolonged economic uncertainty for the eurozone, with potential for expanded sanctions against Russia weighing on European growth outlook. The euro found temporary support at 1.0815, the 50-day moving average, but faces resistance at 1.0850. Energy price concerns and potential supply disruptions continue to pressure the single currency. Traders are monitoring whether additional secondary sanctions will be implemented, which could further strain Europe's economy. The persistent conflict raises inflation risks through energy channels while dampening growth prospects, creating a challenging environment for the ECB's monetary policy decisions.
EURUSD
Sentiment:
Negative
Source: Finnhub
The dollar index today is down by -0.37%. The dollar is under pressure today from a stronger yuan, which rose to a 9.5-month high against the dollar. The dollar also remains under pressure due to concern over the Fed’s independence and fears about capital flight with President Trump’s...
USDJPY
Source: Marketaux
USD/JPY declined 0.5% to 148.20 as the Japanese yen strengthened across the board amid shifting risk sentiment and technical breakdown. The pair broke below key support at 148.50, triggering accelerated selling pressure from algorithmic traders. Japan's recent economic data showed manufacturing activity expanding for the third consecutive month, supporting the Bank of Japan's gradual policy normalization stance. Meanwhile, US dollar weakness persists as markets price in higher probability of Federal Reserve rate cuts in upcoming meetings. Technical indicators point to further downside, with the next major support level at 147.80, coinciding with the 100-day moving average. Resistance now stands at the former support of 148.50. The bearish momentum suggests potential continuation toward 147.00 if current support fails, particularly if risk-off sentiment intensifies or Japanese authorities signal comfort with yen appreciation.
USDJPY
Sentiment:
Very Negative
Source: Marketaux
The US Dollar Index slipped 0.2% to 101.85 during European morning trade, pressured by typical month-end rebalancing flows and cautious positioning ahead of crucial economic releases. Major pairs saw modest gains with EUR/USD climbing 25 pips to 1.0845 and GBP/USD advancing to 1.3165. Market participants are exercising caution as August draws to a close, with portfolio adjustments driving mild dollar weakness across the board. Traders are particularly focused on upcoming inflation data from the Eurozone and US GDP revisions expected later this week, which could shape September's monetary policy expectations. Technical indicators suggest the dollar's near-term support lies at 101.50, while resistance emerges at 102.20. The subdued volatility reflects typical pre-data positioning, with forex markets likely to see increased activity post-Labor Day as institutional flows return to normal levels.
EURUSD
GBPUSD
DXY
Sentiment:
Neutral
Source: Marketaux
GBP/USD advanced 0.4% to 1.2680 as diverging central bank expectations drove sterling strength against the dollar. Markets now price a 75% probability of a Federal Reserve rate cut in September, up from 60% last week, following softer US inflation components. Conversely, Bank of England rate cut expectations have diminished, with UK services inflation remaining sticky at 5.2% year-over-year. The pound found strong bid support at 1.2620, with buyers emerging on dips. Technical momentum indicators suggest further upside potential, with immediate resistance at 1.2700 psychological level, followed by 1.2730 monthly high. The widening interest rate differential favors continued GBP strength, particularly if upcoming UK employment data maintains its robust trend. Traders should monitor Friday's US PCE inflation data, which could cement Fed easing expectations and propel cable toward 1.2750.
GBPUSD
Sentiment:
Positive
Source: Marketaux
EUR/USD struggled to maintain upward momentum, trading at 1.0842 after briefly testing the 1.0850 resistance level during Wednesday's European session. The pair gained a modest 0.15% (16 pips) but faced selling pressure as traders remained cautious ahead of Thursday's crucial Eurozone inflation report, expected to show headline CPI at 2.2% year-over-year. Market positioning reflects uncertainty about the European Central Bank's next move, with futures pricing in a 65% probability of a September rate cut. The German DAX index's 0.3% decline added to euro headwinds, while the Dollar Index held steady at 101.92. Technical analysis shows immediate resistance at 1.0850-1.0860, coinciding with the 50-day moving average, while support sits at 1.0820. A decisive break above 1.0860 could open the path to 1.0900, but traders appear reluctant to commit before inflation data clarifies the ECB's policy trajectory.
EURUSD
DXY
Sentiment:
Neutral
Source: Marketaux
Market expectations for central bank policy remained largely unchanged this week, with the Federal Reserve still pricing in 55 basis points of rate cuts by year-end. The ECB and BoE show minimal easing expectations at 10bps each, while the BoC anticipates 24bps of cuts. The most significant shift came from Australia, where the RBA rate cut pricing increased to 33bps following stronger-than-expected monthly CPI data. Despite the inflation surprise, the RBA's focus on labor market conditions prevented more aggressive hawkish repricing. The RBNZ expects 36bps of cuts, while the SNB shows minimal easing at 6bps. Notably, the Bank of Japan remains the outlier with markets pricing 17bps of rate hikes by year-end, continuing its divergent policy path. This stability in rate expectations suggests traders await key US economic data for clearer direction.
EURUSD
GBPUSD
USDJPY
USDCAD
AUDUSD
NZDUSD
USDCHF
Sentiment:
Positive
Source: Finnhub
This educational piece explores the advantages of hollow candlestick charts over traditional solid candlesticks for forex technical analysis. Hollow candlesticks provide clearer visual signals by differentiating between closing prices relative to both opening and previous closing levels, offering traders enhanced clarity in trend identification. The hollow format displays bullish candles (close > open) as hollow/white bodies and bearish candles (close < open) as filled/black bodies, while also incorporating the previous close relationship through color coding. This dual-information system helps traders identify trend continuations and reversals more quickly, particularly useful in fast-moving forex markets. Professional traders report improved decision-making speed and reduced eye strain when using hollow candlesticks for multi-timeframe analysis. The article emphasizes practical applications including trend strength assessment, support/resistance identification, and momentum shifts, making it particularly valuable for day traders and scalpers who require rapid visual processing of price action.
AUDUSD
Sentiment:
Positive
Source: Marketaux
Sterling strengthened 0.4% (52 pips) against the dollar to reach 1.3175, driven by growing expectations that the Bank of England will maintain its hawkish stance amid persistent UK inflation concerns. Market pricing now reflects only a 30% probability of a rate cut at the September meeting, down from 45% last week, following comments from BoE officials emphasizing the need for sustained evidence of disinflation. UK services inflation remains elevated at 5.2%, well above the BoE's comfort zone, supporting the pound's resilience. The Dollar Index retreated 0.2% to 101.78, providing additional support for cable's advance. Technical analysis reveals GBP/USD has broken above the key 1.3150 resistance, with next targets at 1.3200 and 1.3225. Support has formed at 1.3130, coinciding with the 20-day moving average. Traders are positioning for continued sterling strength unless upcoming UK economic data significantly disappoints expectations.
GBPUSD
DXY
Sentiment:
Positive
Source: Marketaux
GBP/USD is maintaining positions above short-term moving averages, displaying mixed momentum indicators that suggest a period of consolidation. The pair is trading with cautious optimism as technical indicators show conflicting signals, with price action holding above critical support levels. Short-term averages are providing dynamic support, preventing deeper retracements while the pair struggles to establish clear directional bias. Market participants are closely monitoring these technical levels as they often serve as triggers for larger moves. The mixed momentum suggests traders are awaiting fresh fundamental catalysts, possibly from upcoming UK economic data or shifts in Bank of England policy expectations. Near-term resistance appears at recent highs, while support from the moving averages provides a cushion against downside moves. This technical setup indicates potential for range-bound trading until clearer signals emerge.
GBPUSD
Sentiment:
Neutral
Source: Marketaux
The Chinese yuan is gaining attention as Beijing accelerates efforts to internationalize the renminbi, impacting major forex pairs including EUR/USD, USD/JPY, EUR/CHF, and particularly USD/CNY. China's strategic push to expand the yuan's global usage comes amid shifting geopolitical dynamics and efforts to reduce dollar dependence in international trade. This development is creating ripple effects across currency markets, with traders reassessing long-term positioning in yuan-related pairs. The EUR/USD and USD/JPY are experiencing indirect effects as global reserve currency dynamics evolve. Meanwhile, EUR/CHF movements reflect safe-haven flows amid these structural changes. The USD/CNY pair remains the primary focus, with Chinese authorities carefully managing the exchange rate while promoting wider yuan adoption. These developments suggest potential long-term implications for dollar dominance and could reshape traditional currency correlations in the forex market.
EURUSD
USDJPY
EURCHF
USDCNY
Sentiment:
Neutral
Source: Marketaux
Gold spot prices in USD terms are approaching record highs as traders position ahead of crucial PCE inflation data and potential Federal Reserve rate signals. The precious metal's strength reflects growing uncertainty about the Fed's policy trajectory, with the US Dollar Index showing vulnerability. EUR/USD is benefiting from dollar weakness, while USD/CAD faces pressure from both greenback softness and commodity currency strength. Market participants are particularly focused on the upcoming PCE data, the Fed's preferred inflation gauge, which could significantly influence rate cut expectations currently priced at 55bps by year-end. Gold's rally suggests investors are hedging against potential policy missteps or seeking safety amid mixed economic signals. The technical picture shows gold testing psychological resistance near all-time highs, with a breakout potentially triggering accelerated gains and further dollar weakness across major pairs.
EURUSD
USDCAD
XAUUSD
Sentiment:
Negative
Source: Marketaux
GBP/USD has rallied back to the psychologically significant 1.35 level, driven by widening UK-US yield spreads favoring sterling strength. The move reflects shifting interest rate differentials, with UK 2-year yields maintaining relative strength against their US counterparts. This yield advantage is attracting flows into sterling as traders position for divergent monetary policy paths between the Bank of England and Federal Reserve. The US Dollar Index weakness is amplifying the pound's gains, creating a favorable environment for GBP/USD bulls. Technical analysis shows the pair breaking above key resistance levels, with 1.35 now acting as pivotal support. The yield spread dynamics suggest continued support for sterling, particularly if UK economic data remains resilient while US data softens. Traders should monitor upcoming UK inflation and employment figures, which could further influence these yield differentials and potentially push GBP/USD toward 1.36.
GBPUSD
Sentiment:
Positive
Source: Marketaux
USD/JPY declined 0.5% to 146.20 during Asian trading as disappointing Nvidia earnings triggered risk-off sentiment across markets. The tech giant's shares fell 4% in after-hours trading despite beating quarterly estimates, with investors concerned about slowing growth rates and high valuations. The Japanese yen strengthened across the board as traders sought safe-haven assets, with EUR/JPY dropping 0.6% to 162.50 and GBP/JPY falling 0.7% to 192.80. Asian equity indices showed broad weakness, with the Nikkei 225 down 1.2% and KOSPI falling 0.9%. The risk-averse environment has pushed USD/JPY below its 50-day moving average at 146.75, with immediate support at 145.80. Traders are closely watching the 145.00 psychological level, which coincides with the 200-day moving average. Further tech sector weakness could accelerate yen strength, potentially testing August lows near 144.50.
USDJPY
EURJPY
GBPJPY
Sentiment:
Negative
Source: Marketaux
USD/JPY has been oscillating within a well-defined trading range for the past two weeks, with the pair currently testing the upper boundary amid renewed dollar strength. The pair has gained approximately 0.5% (75 pips) in recent sessions, approaching key resistance levels that have capped advances since mid-August. The dollar's rebound reflects improving risk sentiment and expectations of sustained Federal Reserve hawkishness, while the Bank of Japan maintains its ultra-accommodative stance. Technical indicators suggest building momentum, with the RSI approaching overbought territory and moving averages converging for a potential bullish signal. Immediate resistance lies at the range top near 147.50, with a confirmed break potentially targeting 148.80. Support remains firm at 146.00, the range floor. Traders are closely monitoring whether this consolidation phase will resolve with a decisive breakout, particularly ahead of upcoming US economic releases that could provide the catalyst for directional movement.
USDJPY
Sentiment:
Positive
Source: Marketaux
