In the ever-fluctuating world of trading and investing, it’s vital to keep up-to-date with the latest market trends and data in order to make knowledgeable decisions. This article delves into the significant market figures of the previous week, elucidating their implications for traders and investors.
The article covers a plethora of critical aspects such as significant earnings, trading figures, and financial instruments, while also scrutinizing the effects of the global market update on major currency pairs.
Top 5 Payouts:
Last week significant payouts were recorded, amounting to;
- $39,137 – 300K Account Size (Merged) – 13.05%
- $35,621 – 220K Account Size (Scaled Up) – 16.19%
- $28,873 – 280K Account Size (Scaled Up) – 10.31%
- $25,943 – 200K Account Size – 13.47%
- $18,073 – 100K Account Size – 18.07%
The significant payout amounts illustrate the market’s instability and the plethora of profit-making opportunities for traders. These sizable payouts testify that traders were able to capitalize on these opportunities, reaping rewards from their judicious investment decisions.
Weekly Trading Stats:
Last week, traders were paid a sum of $2,175,311, which was distributed among 1,535 participants. This showcases considerable trader involvement in the market, with those making shrewd investment choices reaping considerable earnings.
Over this time span, a whopping total of 942,775 trades were executed, involving a combined volume of 570,270 lots. These numbers highlight the remarkable trading activity, suggesting a market landscape typified by volatility and constant shifts.
Weekly Trading Instruments:
The week saw substantial trading activity involving notable pairs such as XAUUSD, EURUSD, US30, GBPUSD, and NDX100. These pairs typically appeal to traders and investors due to their inherent volatility, thereby enhancing their investment attractiveness. The sizable trading volume associated with these pairs demonstrates their high weekly demand, offering traders prospective avenues for profit.
Among all the currency pairs, GBPUSD, AUDUSD, and NZDUSD performed exceptionally well, achieving winning percentages of 54.57%, 52.52%, and 51.89% respectively. This indicates that traders engaged with these pairs might have reaped impressive gains.
On the other hand, the currency pairs of CADJPY, AUDCHF, and USDJPY did not fare well, posting losing percentages of 52.62%, 51.68%, and 51.46% respectively. This suggests that traders who ventured into these pairs may have sustained losses.
|| Powell Shakes the Markets! Is the US Dollar Set to Skyrocket Even Further? ||
Global Market Update:
- The US Dollar Index (DXY) surged to 104.197 after a game-changing speech from US Federal Reserve Chair Jerome Powell. With Wall Street defying expectations and trading in the green, is the economy on the brink of a major shift?
- Amidst soaring inflation concerns, Powell drops hints of more rate hikes on the horizon. With mixed signals from top Fed officials and a looming decision in November, are we about to witness a financial rollercoaster?
- Gold prices face a downturn as Jerome Powell’s remarks at the Jackson Hole Symposium send ripples through the market. With the Gold Spot price hovering near the $1,910 mark, a potential bearish cross looms as the 20 and 200-day Simple Moving Averages converge.
Powell’s emphasis on the Federal Reserve’s cautious approach and the economy’s persistent heat has led to a surge in US yields, further pressuring the yellow metal. As investors keenly await upcoming data points, the odds for a November rate hike have risen to 44%.
EUR/USD:
- The EUR/USD dropped below the 200-day SMA, ending the week around 1.0795, marking the Euro’s fourth consecutive weekly loss against the USD.
- Christine Lagarde’s cautious comments at the Jackson Hole Symposium influenced the Euro’s decline, with the ECB signaling a multi-legged approach to policy.
- Technical indicators, including the bearish cross of the 20 and 100-day SMAs and negative RSI, suggest potential further downside for the EUR/USD pair.
GBP/USD:
- The GBP/USD pair faced downward pressure, ending the week at 1.2576, influenced by concerns over global business activity and China’s real estate market challenges, including Evergrande’s bankruptcy filing.
- The US Dollar Index (DXY) rose to two-month highs at 104.187, bolstered by Jerome Powell’s hawkish stance on inflation and potential rate hikes, as discussed at the Jackson Hole Symposium.
- Mixed US economic data, including a rise in Initial Jobless Claims, and differing views from Fed officials like Harker and Mester, add layers of uncertainty to future rate hike decisions.
USD/CAD:
- The USD/CAD pair surged to a three-month high of 1.3640, influenced by Jerome Powell’s hawkish remarks on inflation and potential rate hikes, currently trading at 1.3613.
- Philadelphia Fed’s Patrick Harker emphasized that current rates are restrictive and might need further increases if inflation doesn’t pick up, while weak Canadian retail sales data at 0.1% MoM further bolstered the USD/CAD’s bullish momentum.
- Technical analysis indicates the USD/CAD might see dip buyers around the 1.3603 mark, while a drop below 1.3567 could lead to further declines, targeting the 200-hour Moving Average at 1.3539.
AUD/USD:
- The AUD/USD pair experienced a slight rebound, moving to near 0.6425, after finding support around the 0.6400 mark, with traders eyeing the upcoming Jackson Hole Symposium and potential remarks from Jerome Powell.
- The US Dollar Index (DXY) is under some pressure, having recently reached an 11-week peak at 104.30, while the Australian Dollar awaits the impact of July’s Retail Sales data, following a 0.8% decline in consumer spending in June.
- Technically, the AUD/USD is challenging the breakdown of its Rising Channel pattern, with the 20-period EMA at 0.6430 likely acting as resistance. If the RSI shifts into the bearish range, further downside momentum could be triggered, with potential targets at 0.6364 and 0.6300.
Conversely, surpassing 0.6490 could lead to an upward push towards 0.6571 and 0.6616.
GOLD:
- Gold prices (XAU/USD) face downward pressure, trading near $1,910, following Jerome Powell’s cautious yet hawkish remarks at the Jackson Hole Symposium, hinting at potential rate hikes in 2023 and the maintenance of the Federal Reserve’s restrictive policy.
- US yields, particularly the 2-year rate, surged to 5.06% in response to Powell’s speech, negatively impacting gold prices. The likelihood of a 25 bps rate hike in November, as per the CME FedWatch tool, has increased to 44%.
- Technical indicators for XAU/USD suggest a potential bearish trend, with key support levels at $1,900, $1,880, and $1,850, and resistance levels at $1,915, $1,930, and $1,950.
SILVER:
- Silver prices (XAG/USD) experience volatility, maintaining support at $24.00, amidst heightened uncertainty surrounding comments from Federal Reserve Chair Jerome Powell. Powell indicated that interest rates might see further hikes if economic data remains positive.
- The US Dollar Index (DXY) is undergoing a correction, hovering near 104.00, while the S&P500 opened positively in anticipation of Powell’s remarks. Philadelphia Fed Bank President Patrick Harker advocates for keeping interest rates between 5.25% and 5.5%, ruling out rate cuts for the year.
- From a technical standpoint, Silver is forming a Bullish Flag chart pattern on a two-hour scale, suggesting a potential continuation of the current trend. The 20-period Exponential Moving Average (EMA) offers consistent support, and the Relative Strength Index (RSI) remains in a bullish range.
OIL:
- WTI crude oil is showing signs of recovery, trading at $79.30, as it moves within a two-week-old falling wedge bullish chart pattern. Market participants are keenly awaiting insights from Fed Chair Jerome Powell’s speech at the Jackson Hole Symposium.
- A potential breakout above the $80.30 mark could pave the way for a significant rally towards $87.00. However, the oil buyers will face resistance in the $83.40 to $84.40 range, which has been a consistent barrier since April.
- On the downside, if the price falls below the confluence of the 50-day and 200-day EMAs near $77.80, it could further decline towards the $77.30–20 zone. A breach below $77.20 might trigger a drop to May’s peak at around $74.70.
Watch out for Next Week’s Important Dates
- On 1st September, the United States S&P Global Manufacturing PMI report will come out. A higher-than-anticipated figure should be viewed as positive (bullish) for the USD, while a lower-than-anticipated figure should be viewed as unfavorable (bearish).
- On 1st September, the United States Initial Jobless Claims report will significantly impact US bond and stock markets. A higher-than-expected figure should be seen as negative (bearish) for the USD, while a lower-than-expected figure should be seen as positive (Bullish) for the USD
- It is important to pay attention to the United States JOLT’s initial jobless claims on the 29th of August, as they may have significant impacts on major currencies. A higher-than-expected figure should be seen as Positive (bullish) for the USD while a lower-than-expected figure should be seen as negative (bearish) for the USD.
