Morning Insights 23rd June

Simon Alagbe

Analyst


Instrument: EURUSD

The pair surged higher after the testimony of the Federal Reserve Chair, Jerome Powell yesterday before the House Select Subcommittee on the Coronavirus Crisis. Mr Powell indicated that the Fed will take time to tighten its monetary policy. "We will not raise interest rates pre-emptively because we fear the possible onset of inflation. We will wait for evidence of actual inflation or other imbalances,” Powell said in a hearing before the panel. 

Technicals: 

The presence of a bull-bull engulfing candle on the hourly timeframe favours the bulls on the pair with a target at 1.19648 and stop loss at 1.19047. 

Fundamentals 

Flash Manufacturing PMI (USD)  2:45 PM

Flash Services PMI  (USD)  2:45 PM




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