Here’s the daily charts and market analysis for November 28, 2018. Check them out!
The pair was expected to further go lower to the 2nd support line. The departure of the United Kingdom from the European Union causes its allies to renegotiate their trading relation with the UK. Countries that have ties to the European Union and considers Queen Elizabeth II as their Head of State, like Australia, New Zealand, Canada, and 13 more countries, will benefit with the negotiation as it will have two negotiated deals in Europe. While UK will depart from the EU, Autralia, together with Japan, leads the ratification of CPTPP (Comprehensive and ProgressiveTrans-Pacific Partnership). Histogram shows a continued exhaustion, while EMAs 13 and 21 shows an impending crossover.
The pair was showing a small movement, but intact for a short term uptrend. Both the United Kingdom and Canada were seeking a trading relation with China. Canada will have bigger consequences with its relationship with the United States if it chooses China, while the United Kingdom will be free to choose who it wants once it departs from the European Union on March 29, 2019. Histogram and EMAs 13 and 21 were all pointing for a reversal.
The pair is expected to revisit its previous high last October 31. Trump threatened China that it will increase the tariff of the $200 Billion Chinese goods from 10% to 25% beginning January 2019. This was ahead of the expected sideline meeting between US President Donald Trump and Chinese President Xi Jinping at the G20 Summit on November 30 – December 1, 2018 at Buenos Aires, Argentina. G20 leaders will also discuss the effect of Trump’s trade war during the meeting. Histogram already shows a buying pressure from Investors while EMAs 13 and 21 recently crossed over.
Investors were cautious trading with the pair and was waiting for a catalyst ahead of the G20 Summit. The U.S. imposed 17 sanctions against Saudi Arabia, but Trump was still reluctant to name Mohammed bin Salman (MbS) as the person behind the killing of Jamal Khashoggi. It was reported that Trump’s family had close ties with the Royal Family. Mohammed bin Salman (MbS) also called Turkish President Recep Tayyip Erdoğan to have a sideline meeting during the Summit to discuss the accusations that the crown prince was behind the killing. Histogram and EMAs 13 and 21 were flat since November 18.