Today the focus is on Britain’s increasing border security, Boeing’s woes, and Goldman Sachs Reddit headache.
The US GDP report will be released. Forecast: 4.0%. If the GDP growth was lower than forecast, the USD could receive negative pressure.
Assets to trade: USD/AUD, EUR/USD, S&P 500
Britain announced new tougher border measures on Wednesday to stop new variants of COVID-19 getting into the country. Affects GBP
Boeing Co took a hefty $6.5 billion charge on its all-new 777X jetliner as it posted a record annual loss on Wednesday due to the coronavirus pandemic and a two-year safety crisis over its 737 MAX. Affects Boeing
US Company GameStop has surged 600% this week, thanks in part to Reddit traders. Affects Goldman Sachs
New Zealand is continuing to push for better trade deals as a way to drive prosperity in the midst of tumultuous trade relations between China and the US/ Australia. Affects NZD
Oil prices remained mostly level though the US Crude Oil Inventory came in well below forecasts at -9.910M barrels. Affects Chevron
GameStop’s stock has surged nearly 700% in the past two weeks, going from $1.24 billion to more than $10 billion in market cap. BlackBerry Ltd is up 185%, along with AMC and Nokia Oyj seeing insane gains among the most heavily traded in pre-market deals, fueled by Reddit discussion threads creating chatter about the stocks and organizing to essentially attack hedge funds that are shorting these companies. This is causing banks and hedge funds to lose large amounts of money.
The appearance of two Three Black Patterns in a row indicate a strong downtrend continues to persist.
The price has bounced off of the support slowing its decline.
The pair is testing its support level and could have the momentum to pass below it because of the current trend.