New York City is Now Epicenter of Coronavirus COVID-19 Outbreak in the USA

US Fed Rate Cut Sentiment Thwarted, Euro Free Falling

By Glenford S. Robinson

As a result of last week’s US Fed rate cut sentiment, the EUR/USD currency pair picked up steam last week galloping to as high as the 1.1411 level where it met stiff resistance turning the pair back down toward the 1.1390 – 1.1398 level where it wasn’t able to break the 1.1400 barrier again and thus began freefalling after traders realized that the US economy was not in need of any monetary stimulus that would have been created by a rate cut in the area of a possible 25bps to 50bps.

The pair then began free falling down toward the 1.1308 mean level where it broke through this support level and ended up dangling down at the 1.1204 – 1.1193 level where it caught support. Buyers were eager to push the currency pair back up to the 1.1208-11 level which is another mean area visited last month and now is serving as a resistance zone. The pair is currently consolidating around the 1.1208-1.1211 level for a possible push downward on the slightest of negative economic sentiment introduced by any sort of negative economic data coming out of the Euro zone.

It is expected that the pair will possibly touch down at the lower end of 1.1100 possibly protruding down to the 1.1090 area. Some Eurozone macroeconomic catalyst should initiate a push up toward the mid 1.1100 possibly toward the 1.1165 zone before continuing up the charts back towards 1.1204 where it possibly will remain for a week or two until Brexit news that will probably push the pair back down to the low to mid 1.1100’s.

The ECB is hell bent on keeping the value of the Euro as low as possible in order to compete with Trump’s USD for bottom-dwelling supremacy. Going forward, an interest rate decision either by the ECB or the FOMC in the not so distant future favoring the Euro could cause a rapid rise of the currency pair back up toward the 1.1400 level.

We must wait and see what happens next. Until then, lets hold on for dear life because this ride is going to be a rocky one for EUR/USD traders. There is now a new sheriff in town from the French side of town, lady Lagarde, Christine. She will probably do whatever she can to assist in the continued devaluation of the Euro to keep the currency as competitive with the USD as possible.

A word from your sponsor

5 Minute Millionaire Money Mentor

A. Ever heard of Tai Lopez?

B. He’s looking to personally mentor a small group of people to become ‘black belts’ with money.

C. Check out his video: tailopez.com/A3092184

Wait! Wait! Free Bonus, Free Bonus: Don’t Open the link Yet.

First go to Youtube and Listen to the book called “Think and Grow Rich by Napoleon Hill.”

The book is free to listen to on Youtube. After you listen to some of the material in the book,

then you will be ready to learn how to make money with Tai Lopez’s 5 Minute Millionaire Money Mentorship program.

All my close friends, family, and professional colleagues are saying that the video at tailopez.com/A3092184 is worth the wait.

If I were you, I would read the book first. Your call!

Check Also

US Economy Looks to Continue Good Performance into 2020, But 2021 Could Be Another Story

We should expect some degree of decline in 2021 especially if 2020 sees rapid growth, simply because the economy goes through boom and bust cycles. So, 2021 could be the year for the bust phase of the business cycle because 2020 showed us the boom phase of the cycle.

Inflation and Mortgage Rate Rise as U.S. Economy Picks Up Steam, Despite Moderate Levels of Volatility and Lackluster Retail Sales Numbers

The CBOE Fear Index otherwise known as the Volatility Index (VIX) dropped by 1.31 or 9.4% on Friday from 13.94 to 12.63. What does all this mean? Well, simply put, the VIX measures the fear level of stock investors.

Market Volatility and Global Economic Slow Down Could Cause Widespread Use of Cryptocurrency by Governments

Here comes the irony of the U.S. economy. This irony shows, that increase volatility, is at play. The first proof of this, screams out in the form of the Disappointing ISM Manufacturing PMI for November, which came in at 48.1% missing market forecasts of 49.2% and a previous reading of 48.3%.

Trade Deal Uncertainty Dominated Market Sentiment Despite Upbeat GDP Numbers

Global growth continues to decline as a result of the prolonged trade war, and with the December 15 deadline fast approaching, it’s unclear whether or not a limited phase-one deal for a new round of tariff can even be achieved, this year.

The U.S. Economy Improved in October, Housing Starts and Building Permits Data Show

The U.S. economy continues to show signs of improvement. It has been the third week in a row that we have seen positive economic numbers. This week’s offering provides us with positive releases such as the Housing Starts, Building Permits, Existing Home Sales, Manufacturing PMI, Services PMI, and Consumer Sentiment Reports.

Recent Interest Rate Cuts, Already Showing Economic Improvements

When the economy begins to expand, the inflation rate will also begin to increase. Therefore, the Federal Reserve must be extremely careful when cutting interest rates because cutting interest rates too much could cause inflation to rise too quickly.

U.S. Economy Boosted by Improved Trade Deficit and ISM Non-Manufacturing PMI

The Trade Balance, released by the Bureau of Economic Analysis, measures the difference in value between imported and exported goods or services over the reported period. A positive number indicates that more goods and services were exported than imported. A Trade Balance with a negative value is called a trade deficit while a Trade Balance with a positive number is called a trade surplus. As we have mentioned previously a Trade Balance equals the value of exports minus the value of imports.

Copyright © 2020 · All Rights Reserved · Mstardom Finance, a Subsidiary of Mstardom, Inc.

%d bloggers like this: