Here are the most recent and freshest updates on currency pairs’ chart movements and analysis.
The pair is expected to break a major support line of the channel. The Canadian Dollar was set to weaken as Canada’s decision to make bilateral trade relations with China will compromise the ratified USMCA (United States, Mexico, Canada). Article 34.6 states that any member seeking to make trading relations with countries outside the agreement must notify the group 6 months prior to its departure. Japan on the other hand, would not compromise anything to make bilateral trade negotiations with China. MA’s 50 and 200 is expected to cross over marking a “Death Cross”. Histogram and EMAs 15 and 21 recently crossed over.
The pair was seen to go lower on a line that serves as a major resistance and support. The United Kingdom’s departure from the European Union will give it the ability to make trading relations with other countries, particularly China. But UK Prime Minister Theresa May was struggling to pass the negotiation deal with the Parliament as MP’s concern of remaining in the Single Currency Market and Customs Union will derail its plans to make trading relations with other countries. Japan was free to make trading relations with other countries to counter Trump’s trade war. Japan is a heavy importing country. The “Golden Cross” ended in 15 days, and now MA’s 50 and 200 was on a “ Death Cross”.
The pair was expected to hit the resistance before continuing the down trend. For the past months Australia, together with Japan, has been leading the ratification of the CPTPP (Comprehensive and Progressive Trans-Pacific Partnership) which will counter Trump’s trade war in Asia Pacific, home to most of the Emerging Economies. Australia was also acting to prevent the aggression of China in Asia Pacific by giving more grants and loans that will counter China’s debt trap to cash strapped nations.
The pair was set to fall lower in the following days with MAs 50 and 200 signalling a future “Golden Cross”. The fall in the Australian Dollar was due to an impending election on May 18, 2019 that will seat half of the State Senators. However, polls show that Australian Prime Minister Scott Morrison’s allies are unlikely to win this the election. The election will determine Australia’s stance toward China’s aggressiveness. Canada on the other hand, was weighing the benefits it can get from the ratified USMCA (United States, Mexico, Canada), or by entering a bilateral trade agreement with China. Histogram was showing a little exhaustion, but EMAs 13 and 21 was pointing for lower prices in the future.