Daily thread to exchange ideas and to share your thoughts
Happy Monday, everyone! Hope you're all doing well as we get things going here on the session. It's been a relatively quiet start to proceedings with equities and bonds not really helping markets with direction, leaving currencies in a bit of a sluggish phase as we begin the new week.
The dollar is holding a little weaker following last week's losses but trading ranges for the most part remains relatively narrow. The aussie is leading gains after RBA governor Lowe made scant remarks questioning the effectiveness of rate cuts, while the loonie is higher alongside oil prices amid ongoing US-Iran tensions.
It's all about trade talks this week and that will set the tone and reaffirm market direction in the bigger picture. Of note, the dollar is at a key crossroads now with the dollar index and EUR/USD having seen a significant break of the 200-day moving average for the first time since May 2018. Is this a start of a new phase in currencies? Or is the dollar still the best of a bad bunch all things considered?
What are your views on the market right now? Share your thoughts/ideas with the ForexLive community here.
