Main trading ideas on financial markets for 18.02.2019

Hello dear traders! My name is Alina, I’m a financial advisor at AMarkets. Today I would like to share trading ideas for the current week.

Last week was rough for the British pound and rather successfull for the Oil proces.

On Tuesday last week, the main event was the Governor’s Carney speech. Initial economic growth reduction was forecasted for this year to decrease by 0.5% to 1.2%. Yet if the UK is forced to leave the EU on the terms of a tough Brexit, economic growth will be below 1%. This news can make a negative effect on the British Pound, which has already lost 270 points against the US dollar since the 28th of January.

As we mentioned the last week was had a major bullish trend for Oil, which price has risen to $66 per barrel for the whole previous week. By the way, the growth of the Brent prices helped New Zealand and Australian dollars to strengthen against the US dollar. Aussie grew to 0.7140 and Kiwi up to 0.6863.

On Thursday, there were weak Retail sales in the US. This news affected the US dollar buyers’ positions, which missed the initiative by the end of the week. On Friday, the US dollar fell against almost all the majors.

The key news this week is FOMC Minutes on Wednesday. Also, we expect the hikes of volatility on Tuesday when Average earnings in the UK will be published.

Today, Banks will be closed due to President’s Day bank holiday in the USA.

On Thursday, we are waiting for the labour market data in Australia, which will influence on the AUDUSD. The pair have chances to rise above 0.7220 resistance level this week. Also, we expect Markit publications of the PMI in France, Germany and Eurozone and in the United States.

On Friday, there might be huge quotes fluctuations in the EURUSD and the USDCAD, when IFO data and Retail Sales will be published.

Thereby, we expect that the American dollar might fall against the Euro, Aussi, Canadian dollar and rise against the British Pound

To sum up, here are our targets for:
the GBP/USD – sell to 1,2780
the EUR/USD – buy to 1.1410
the AUD/USD – buy up to 0.7220
the USD/CAD – sell to 1.3140