US-Sino negotiations – There are no main breakthrough

After two days, US-Sino trade negotiations is finished and it looks like there wont be any main breakthrough. We can expect a new round of US tariffs for about $16 billion of Chinese products.

Fed’s Chairman Powell will speak and we can expect of him to defend the Fed’s current rate hike path. The speech’s title is to be “Monetary Policy in a changing economy”. This even could effectively raise the US dollar’s value with adverse effects. On Powell’s speak we can also expect the low unemployment as well as the accelerating inflation and GDP growth rates in order to argue for the economic situation. Also, we can expect comments about the international trading relationships and their effects on the US economy.

EUR/USD moved sideways with some bearish tendencies, testing the 1.1537 support line. If the pair come under selling interest we could see it breaking the 1.1537 support line and aim for the 1.1482 support barrier. On the other side, we could see it rising and aiming if not breaking the 1.1623 resistance line.

US-Sino negotiations – USD stabilizes

USD seems to be losing steam as headlines about new US-Sino negotiations. President Trump pushes for a better deal with China. Also, White house economic adviser Kudlow, warned Beijing not to underestimate president Trump’s resolve to push for changes in China’s economic policies.


EUR/USD rose breaking the 1.1360 resistance line and stabilized clearly above it. We could see it aiming if not breaching the 1.1428 resistance line, and on the other side we could see it breaking the 1.1360 support line aiming if not breaking the 1.1300 resistance level.