We’ve got consumer confidence and durable goods orders data coming in from the U.S. today!
Could these reports push this dollar pair around?
Before moving on, ICYMI, today’s Asia-London session watchlist looked at a neat trend pullback setup on AUD/JPY ahead of BOJ Governor Kuroda’s speech. Be sure to check that out if it’s still a valid play!
And now for the headlines that rocked the markets in the last trading sessions:
Fresh Market Headlines & Economic Data:
- U.S. to keep travel restrictions in place due to Delta variant
- Bitcoin fell back below $40K after Amazon denied plans to accept BTC payments
- Australia’s Victoria state to ease some lockdown measures
- Sydney reports new record level of COVID-19 daily cases
- South Korean economy grew by fastest pace in a decade at 0.7% in Q2
- North Korea and South Korea to resume communication via military lines
- Asian markets pulled lower by heavy selling of Chinese internet firms
Upcoming Potential Catalysts on the Economic Calendar:
- U.S. headline and core durable goods orders at 12:30 pm GMT
- RBA Deputy Governor Debelle’s speech at 12:35 pm GMT
- U.S. CB consumer confidence index at 2:00 pm GMT
If you’re not familiar with the forex market’s main trading sessions, check out our Forex Market Hours tool.
What to Watch: USD/CHF
This pair has been consolidating inside a descending triangle, and price is closing in on the floor around .9140.
Analysts are projecting mixed results from the durable goods orders report, with the headline reading slated to advance from 0.3% to 0.8% and the core figure to dip from 2.3% to 2.1% in June.
Later on, the July CB consumer confidence index might print a decline from 127.3 to 123.9 to reflect weaker optimism. Fears about the Delta variant likely contributed to a dip in confidence for this month.
Still, stronger than expected results might be enough to keep the Greenback afloat, allowing the triangle bottom on USD/CHF to hold. If that’s the case, the pair could recover to the triangle top near .9200.
A break lower, on the other hand, could be followed by a selloff that’s the same size as the triangle chart pattern or roughly 120 pips.
Stochastic is hinting at a bounce, but the moving averages seem to be prepping for a bearish crossover. Better keep your eyes peeled for any clues from the candlesticks!