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The financial markets were jolted by Fed’s hawkish rate cut last week, sending ripples across stocks, bonds, currencies, precious metals, and even cryptocurrencies. Fed’s indication of prolonged restrictive monetary policy fueled risk aversion, pushing Dollar to end the week as the strongest performer in the currency markets, supported by surging yields and elevated Fed expectations. The post Dollar to Pause for Consolidation After Failing to Break Euro Resistance Post-Fed appeared first on Action Forex.

EUR/USD tried to resume the fall from 1.1213 last week but failed to break through 1.0330 support and recovered. Initial bias is turned neutral this week first. While stronger recovery cannot be ruled out, outlook will remain bearish as long as 1.0629 resistance holds. Firm break of 1.0330 will confirm decline resumption and target 61.8% The post EUR/USD Weekly Outlook appeared first on Action Forex.

USD/JPY’s rally from 139.57 resumed last week but retreated quickly after hitting 157.91. Initial bias stays neutral this week for consolidations. But outlook will remain bullish as long as 153.15 support holds. Break of 157.91 will target 61.8% projection of 139.57 to 156.74 from 148.64 at 159.25 next. In the bigger picture, price actions from The post USD/JPY Weekly Outlook appeared first on Action Forex.

GBP/USD’s fall from 1.3433 attempted to resume last week by breaching 1.2486, but quickly recovered after dipping to 1.2474. Initial bias is turned neutral this week for consolidations. Outlook will stay bearish as long as 1.2810 resistance holds. Break of 1.2474 will target 1.2298 cluster support zone. In the bigger picture, price actions from 1.3433 The post GBP/USD Weekly Outlook appeared first on Action Forex.

USD/CHF’s rally from 0.8374 resumed last week but retreated after hitting 0.9020. Initial bias stays neutral this week for consolidations first. Downside should be contained above 0.8735 support to bring another rally. Above 0.9020 will target 61.8% projection of 0.8374 to 0.8956 from 0.8735 at 0.9095. In the bigger picture, price actions from 0.8332 (2023 The post USD/CHF Weekly Outlook appeared first on Action Forex.

AUD/USD’s fall from 0.6941 accelerated to as low as 0.6198 last week but turned sideway since then. Initial bias remains neutral this week for consolidations. Upside of recovery should be limited well below 0.6511 support turned resistance to bring another fall. Below 0.6198 will target 0.6169 long term support, and then 138.2% projection of 0.6941 The post AUD/USD Weekly Report appeared first on Action Forex.

USD/CAD’s up trend continued to as high as 1.4466 last week but retreated after breaching 1.4391 projection level. Initial bias is turned neutral this week for consolidations first. Outlook will stay bullish as long as 1.4177 resistance turned support holds. Break of 1.4466 and sustained trading above 1.4391 will pave the way to retest 1.4667/89 The post USD/CAD Weekly Outlook appeared first on Action Forex.

GBP/JPY’s rose further to 198.93 last week as corrective pattern from 180.00 extended with another rising leg. As a temporary top was formed, initial bias is neutral this week first. Further rally will remain in favor as long as 194.04 support holds. Break of 199.79 will target channel resistance (now at 203.09). In the bigger The post GBP/JPY Weekly Outlook appeared first on Action Forex.

EUR/JPY’s rally from 156.16 extended higher last week. The development is in line with the case that corrective pattern from 154.04 is extending with another rising leg. Initial bias stays on the upside for 166.67 resistance next. For now, risk will stay on the upside as long as 159.79 support holds, in case of retreat. The post EUR/JPY Weekly Outlook appeared first on Action Forex.

EUR/GBP rebounded ahead of 0.8201 key support again last week but upside was limited below 0.8326 resistance. Initial bias is neutral this week first. On the upside, break of 0.8326 resistance will indicate short term bottoming, on bullish convergence condition in 4H MACD. Intraday bias will be turned back to the upside for 0.8446 structural The post EUR/GBP Weekly Outlook appeared first on Action Forex.

EUR/AUD’s rally from 1.5963 continued last week and the break of 1.6598 resistance confirmed that correction from 1.7180 has already completed, after defending 1.5995 key support. But as a temporary top was formed at 1.6712, initial bias stays neutral for consolidations first. On the upside, break of 1.6712 will resume the rally from 1.5693 to The post EUR/AUD Weekly Outlook appeared first on Action Forex.

EUR/CHF reversed after edging higher to 0.9417 last week and the strong break of 0.9343 resistance suggests that corrective rebound from 0.9204 has completed already. Initial bias stays on the downside this week for 0.9254 support first. Break there will bring retest of 0.9204 low. On the upside, above 0.9340 minor resistance will turn intraday The post EUR/CHF Weekly Outlook appeared first on Action Forex.

Monday, Dec 23, 2024 Tuesday, Dec 24, 2024 Wednesday, Dec 25 2024 Thursday, Dec 26, 2024 Friday, Dec 27, 2024 The post Summary 12/23 – 12/27 appeared first on Action Forex.

The Federal Reserve’s policy change and economic projections have significantly impacted markets, leading to a rise in US yields. The US PCE data released on Friday rose less than expected, alleviating some selling pressure on US equities. The Bank of Japan held rates steady, defying expectations of a rate cut, while the risk of a The post Markets Weekly Outlook – S&P 500 in Focus as Markets Brace for Holiday Lull appeared first on Action Forex.

Canadian Highlights The Fall Economic Statement (FES) was delivered amid a chaotic week for the federal government. Larger deficits and modest stimulus were features, although the FES is unlikely to change the Bank of Canada’s thinking on policy. Data on the real economy was mixed, with gains in home sales and starts in November, but The post The Weekly Bottom Line: Fed Signals a More Cautionary Stance on Rate Cuts Next Year appeared first on Action Forex.

Summary United States: That’s a Wrap The outlook for 2025 is riddled with uncertainty, yet data released this week demonstrate a U.S. economy that retains momentum. Ascertaining what level of policy restraint achieves the careful balance of keeping inflation in check and easing stress on interest-rate sensitive sectors will dominate the monetary policy discussion come The post Weekly Economic & Financial Commentary: That’s a Wrap appeared first on Action Forex.

The final major data point from Statistics Canada in 2024 will be Monday’s gross domestic product release for October, which will be the last GDP print before the Bank of Canada’s Jan. 29 meeting. We look for a 0.2% increase that would be the strongest monthly gain since April, and firmer than the 0.1% advance The post October GDP to Look Marginally Stronger After Slew of Weak Data appeared first on Action Forex.

The tradition of central banks hosting meetings just before Christmas continued this year with policy decisions in the US, Japan, UK, Norway, and Sweden. The largest present came from the US Federal Reserve in the shape of a significant hawkish surprise. Fed cut the policy rate target by 25bp to 4.25-4.50% as expected, but Powell delivered The post Weekly Focus – Hawkish Christmas Present from US Federal Reserve appeared first on Action Forex.

The U.S. dollar ends the year on a strong note, hitting two-year highs at 108.45. The Fed expects a 50-point rate cut for the full year 2025 versus 4 cuts one quarter earlier, citing higher inflation forecasts and a stubbornly strong labour market. This fundamental change has given a new impetus to the dollar’s rise The post US Dollar Ends the Year on a Strong Note appeared first on Action Forex.

Market Picture The crypto market continues to retreat, having lost 4.4% to $3.36 trillion in the last 24 hours and already over 11% from the all-time peak of $3.79 trillion set on Tuesday. While the sell-off in stock markets has slowed, cryptocurrencies are maintaining or even picking up the pace of the decline. This return The post How Deep Will Crypto Dive? appeared first on Action Forex.