FX MARKET REPORT 21.10.2020

FX MARKET REPORT 21.10.2020

FX MARKET REPORT 21.10.2020

Daily Commentary
Daily Commentary
FX MARKET REPORT 21.10.2020
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FX MARKET REPORT 21.10.2020

GBP/USD tested 1.3020 but awaits a fresh catalyst for a sustained move higher. However, the persistent downbeat mood around the US dollar, in light of the renewed optimism over a likely US fiscal stimulus deal, continues to exert upward pressure on the cable. Technically, the daily closing above the 50-DMA barrier could provide the much-needed push to the bulls while also yielding a symmetrical triangle breakout on the daily sticks. The UK Consumer Prices Index (CPI) 12-month rate came in at +0.5% in September when compared to +0.2% booked in August while matching expectations of a +0.5% print.  EUR/USD advances for the fourth consecutive session on Wednesday and consolidates the upside momentum following the recent breakout of the interim hurdle at the 55-day SMA just below 1.1800 the figure. The focus of attention will be on the participation of ECB’s Christine Lagarde at an ECB Listens event. Commerzbank now has a positive stance and marks the initial resistance at 1.1871 followed by 1.1971 and 1.2015. The  Dollar Index was down 0.3% at 92.787, falling to its lowest level for a month. USD/JPY was down 0.3% at 105.23.

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GBP/USD tested 1.3020 but awaits a fresh catalyst for a sustained move higher. However, the persistent downbeat mood around the US dollar, in light of the renewed optimism over a likely US fiscal stimulus deal, continues to exert upward pressure on the cable. Technically, the daily closing above the 50-DMA barrier could provide the much-needed…

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