- What events may drive the market between 15 and 19 February?
- 2021-02-15 19:33:01 (GMT)
- "mt5 forex forum" <firstname.lastname@example.org>
FX.co | Forex Trading Portal
Kate Stikhinа|InstaForex TV Director
Hello! This week is going to be rather interesting and rich with significant macroeconomic events. Be on top of the news highlights with our weekly digest.
What to expect on Forex this week?
Monday | 15 February
The upcoming week will hardly be eventful. However, a row of crucial macroeconomic statistics will be released anyway. Notably, important macroeconomic reports will be published every day during the week. On Monday, the eurozone’s industrial production data is set for release. The reading is expected to show 0% growth following a -0.6% decline. This is likely to become an extremely positive factor after such a prolonged slowdown in industrial production that lasted for more than a year. Therefore, the week may well start with the strengthening of the euro.
Tuesday | 16 February
On Tuesday, market players will focus on the second estimate of Q4 GDP in the euro area. The European economy is expected to slow down to -5.1% from -4.3%. Consequently, the euro will hardly advance on Tuesday. At the same time, the single European currency will have no reasons for a drop since the data has already been included into the first estimate.
Wednesday | 17 February
On Wednesday, the pound sterling will be brought under pressure dua to a decrease in the UK inflation rate to 0.4% from 0.6%. As a result, this will lead to a steep fall in the pound. Canada will deliver its inflation report on Wednesday likewise. Unlike the United Kingdom, inflation in Canada should accelerate to 0.8% from 0.7%, leading to the strengthening of the loonie. However, its growth will be limited due to an expected increase in US industrial production as well as retail sales. Given the importance of the US data, investors’ primary focus will be on it. Overall, the greenback is likely to rise almost throughout the trading day.
Thursday | 18 February
On Thursday, the aussie may strengthen amid a decline in Australia's unemployment rate to 6.5% from 6.6%. Despite such a small drop in unemployment, it is still regarded as a positive factor. Meanwhile, the greenback may surge during the early North American session thanks to a plunge in the number of jobless claims. Thus, initial jobless claims are estimated to decrease to 765K from 793K, while continuing jobless claims are projected to plummet to 4,290K from 4,545K.
Friday | 19 February
On Friday, Japan will present its inflation data, which may contribute to the strengthening of the Japanese yen. The country has been under the prolonged period of deflation. This time, its consumer prices are forecast to fall by -1.0%, following a -1.2% drop. Under the circumstances, this will be perceived as a positive factor. Consequently, demand for the yen will increase. Meanwhile, the pound may fall into a tailspin due to the possibility of an annualized -0.7% slump in retail sales, following a 2.9% surge. The plunge in retail sales will definitely have an adverse impact on the pound. At the same time, a stronger Swiss franc will spark investors attention thanks to a considerable increase in industrial production to -1.6% from -5.1%. The last major event on Friday will be the publication of the retail sales report in Canada. The reading should rise only by 6.8% compared to the previous 7.5% spike. The slowdown in the retail sales growth rate will lead to a slight decline in the price of the loonie.
Read and learn
Watch and earn
As for the technical analysis, traders should pay attention to the following price levels:
1,2150*; 1,2185*; 1,2350**; 1,2550; 1,2825.
1,2000***;1,1900**; 1,1810*; 1,1650*; 1,1500.
1,3750**; 1,3650*; 1,3560*; 1,3450*; 1,3300*; 1,3000***; 1,2860.
104,50; 106,50*; 108,00**; 109,80**.
104,50; 102,60; 101,00**; 100,00***.
0,9000***; 0,9200-0,9250***; 0,9480; 0,9650**.
0,8750**; 0,8550; 0,8000***.
0,7800; 0,8000***; 0,8135.
0,7600*; 0,7400; 0,7200; 0,7000***; 0,6925*.
1,2830; 1,3000***;1,3250; 1,3330*;1,3400; 1,3515**.
1,2660*; 1,2550; 1,2240; 1,2050***.
* Periodic level** Level of a trading range*** Psychological level
One tweet by Elon Musk enough to inflate crypto market
Elon Musk has rattled the crypto market with his comments on the number cryptocurrency bitcoin and less popular dogecoin. In other words, the billionaire entrepreneur attracted more retail investors to the crypto market by means of his Twitter account in recent weeks. He is also active on other social media. “Bitcoin is a good thing,” Tesla CEO gave his thumbs-up to the most popular digital asset. However, he also added that he was “late to the party” in getting serious about bitcoin. The second richest man in the world admitted he should have bought bitcoin 8 years ago. In fact, investment in this cryptocurrency last year could have already yielded fat profits. BTC has soared almost 200% since October 2020.
Interestingly, some experts come to a conclusion that Elon Musk enjoys watching the impact his posts make on the market. For instance, in January 2021, Tesla chief put the #bitcoin hashtag on his Twitter account. As a result, the world’s most traded cryptocurrency surged from $32,000 to $37,000 in just 15 minutes. Later, Elon Musk who has 46 million followers on Twitter confessed that he should be careful with what he posts as this could move the market.
The hi-tech mogul has been termed a Twitter troll for a few years. Perhaps, he wants to send a message that the crypto industry is still at the dawn despite its large market capitalization and avid fans. One tweet is enough to inflate the market. Curiously, "Bitcoin is almost as bullshit as fiat money," he wrote in another tweet.
*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
More analytic articles on the portal FX.co
Be on top of the forex market events with FX.co,Kate Stikhina, InstaForex TV Director
Risk disclosure: Forex trading portal informs you that the website’s content is publicly available. The administrators and management of the web resource do not warrant the accuracy of the information and shall not be liable for any damage directly or indirectly related to the content of the website. You can find a wide range of useful information including charts, quotes of financial instruments, trading signals, and tutorials on the web portal. Improve your trading efficiency with information acquired from FX.co.
Warning: the message above can be a phishing scam. See: legal notes