Daily Market Charts and Analysis May 7, 2019

Here are the latest market charts and analysis for today. Check them out and know what’s happening in the market today.

EURSEK

The pair was seen to fail to break out from a major resistance line, ending the pair’s rally and sending the pair back to a major support line. The European Union seemed to wake-up after Swedish teen and climate activist Greta Thunberg had schooled EU leaders for holding three emergency summits on Brexit and none on the threat posed on climate change. Her speech reflects two (2) things; first is the climate change, which in terms of geopolitics translates to the fast pace melting of the Arctic region, which could begin the new era of Cold War after claimants on the soon-to-be contested region was now increasing their military presence. Second was the dissatisfaction of Sweden on the handling of Brexit on which 54% of the Swedes think that it will negatively affect their country and 61% think it will negatively affect the European Union. Histogram and EMAs 13 and 21 poised to further go lower.

EURCZK

The pair was expected to move lower in the following days after it failed to breakout from an uptrend resistance line and from 200 MA. Czech Republic became an arena for the political battle between Europhiles and Euroskeptics after Populist politicians from five countries, led by France’s former presidential candidate Marine Le Pen, gathered in the city of Prague for a European election rally in support of their Czech political ally Tomio Okamura and his far-right Freedom and Direct Democracy (SPD) party. At the same time, in the eastern city of Olomouc, which is 250 kilometers from Prague, business leaders and academics tried to persuade the public that the European Union remains the country’s best bet for peace and prosperity. In a recent survey conducted, 58% of Czech respondents said that the country benefited from being an EU member. Histogram and EMAs 13 and 21 will reverse back in the following days.

USDCZK

The pair was set for a rally after it was seen consolidating on an uptrend support line, heading towards the pair’s 23-month high. The United States had ratified its protocol to the NATO (North Atlantic Treaty Organization) on the accession of the North Macedonia, which will allow the country to become a member of the North Atlantic Alliance and to become a full defense of the NATO Alliance if Turkey will secede from the group. The previous ratification paves way for the accession of Hungary, Poland, and Czech Republic to the alliance. As Turkey was seen shifting from being an ally of the West to the East, the US was increasing its effort to militarize the former USSR (Union of Soviet Socialist Republics) satellite states and contain Russia and Turkey’s aggression in the Black Sea. Czech Republic was now planning to buy US military equipment. Histogram and EMAs 13 and 21 will fail to crossover.

USDHUF

The pair failed to breakout from a major resistance line, which will send the pair lower to a major support line. US President Donald Trump will host Hungarian Prime Minister Viktor Orban in the White House on May 13 to counter China and Russia’s growing influence in the CEE (Central and Eastern Europe). This meeting will also show the support of the United States to the Eastern and Nationalist bloc, the Visegrad Group, and for PM Orban as the leader of Central Europe. This will be the first meeting between the US and Hungary after signing their Mutual Defense Cooperation Agreement and following the European Union’s disregard of the veto vote by Hungary on the two-state solution of the bloc and to block Israel’s recognition over the Golan Heights after the United States vote in favor of its ally Israel. Histogram and EMAs 13 and 21 will continue to move lower in the following days.