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Forex News Timeline

Wednesday, July 18, 2018

The People's Bank of China (PBOC) set the Yuan reerence rate at 6.6914 vs  previous day's fix of 6.6821.

The People's Bank of China (PBOC) set the Yuan reerence rate at 6.6914 vs  previous day's fix of 6.6821.

EUR/GBP daily chart, price above bearish triangle resistance Spot rate:               0.8890      High:                      0.8914 Low:       

EUR/GBP is above the 0.8832/40 (21-D SMA) bearish triangle support and making bullish advances.  The 0.9034 October 2017 high on the wide is a key upside.EUR/GBP daily chart, price above bearish triangle resistance Spot rate:               0.8890
    
High:                      0.8914
Low:                       0.8888 Trend:                    Bullish Resistance 1:        0.8920
Resistance 2:        0.8943 (5th May tops). 
Resistance 3:        The 0.9034 October 2017 high on the wide is a key upside. Support 1:              0.8852 (10-D SMA)         
Support 2:              0.8832/40 (21-D SMA) bearish triangle support
Support 3:              0.8620 protects a run towards 0.8526 as being the 78.6% retracement of the move from 2017 on the wide.  

The massive EU-Japan trade agreement, which has been winding through negotiations for four years, is now heading off to the EU's and Japan's respectiv

The massive EU-Japan trade agreement, which has been winding through negotiations for four years, is now heading off to the EU's and Japan's respective parliaments for ratification, which is expected to go smoothly. Under the confines of the trade agreement, Japan is set to drop 94% of trade tariffs against the EU, while the EU will be seeing an eventual elimination of 99% on imports from Japan. The process is expected to take shape over time, with the EU set to abolish tariffs on Japanese autos by the eighth year following ratification, as an example. The EU and Japan will also be co-operating on standard-setting and regulation creation looking forward, with the two sides set to share responsibilities for overseeing trade after the trade barriers are finally removed.

Fed Chair Powell’s upbeat testimony took the limelight in markets overnight which supported the US dollar index and indeed sending USD/JPY on the warp

There is a fundamental case for a strong dollar currently.Tokyo has picked up the batton and bulls have scored territory through 113 the figure.Fed Chair Powell’s upbeat testimony took the limelight in markets overnight which supported the US dollar index and indeed sending USD/JPY on the warpath, advancing towards the 2018 high but not quite over the line, failing below the 113 handle. However Tokyo has picked up the batton and bulls have scored territory through 113 the figure, scoring a high of 113.08 so far.  However, although Powell reiterated that, "for now - the best way forward is to keep gradually raising the federal funds rate," 'gradual hikes' is hardly a new theme for markets and indeed the 10-year yields were reflecting that, ranging sideways between 2.85% and 2.87%. What does appear to be happening is the yen is losing its safe-haven status to the Swissy and the US dollar and bears are stepping aside, enabling the pair to move higher. Additionally, the 2yr yields, which are arguably more sensitive to rate talk and US data, climbed from 2.59% to 2.61% which was the highest level since 2008. The Fed fund futures yields continue to price 1 ½ more hikes in 2018 as well. Powell remains upbeatOn the economy, while Powell was upbeat overall against a firm global backdrop and noting how and tax cuts are beneficial, there was an air of caution where he noted uncertainties on trade policy, “it is difficult to predict the ultimate outcome of current discussions”. Meanwhile, there is a fundamental case for a strong dollar currently. We had recent retail sales revisions that were strong and overnight, we had the latest US industrial production which jumped a solid 0.6% in June. However, analysts at Westpac noted that there was also a large 0.4ppt downward revision to the prior month, "taking May’s reading to -0.5%, portrays a less impressive picture. Most of June’s gain came from rebounding motor vehicle production which had fallen sharply in the prior month due to supplier disruptions. The National Association of Homebuilders sentiment survey held steady at an elevated 68."USD/JPY levelsValeria Bednarik, chief analyst at FXStreet explained that in the 4 hours chart, technical indicators regained the upside, with the Momentum indicator heading north well above its mid-line and the RSI partially losing upward strength around 71: "In the mentioned chart, moving averages are finally gaining upward traction, although far below the current level to be relevant in the near term. Pullbacks should remain contained around 112.60 to keep the positive tone alive, while above the 113.00 level, the mentioned yearly high is the main resistance/bullish target."

Australia Westpac Leading Index (MoM) up to 0% in June from previous -0.2%

Analysts at Nomura offered their model's projection for today's fix in USD/CNY. Key Quotes: "Our model1 projects the fix to be 114 pips higher than

Analysts at Nomura offered their model's projection for today's fix in USD/CNY.Key Quotes:"Our model1 projects the fix to be 114 pips higher than the previous fix (6.6935 from 6.6821) and 145 pips higher than the previous official spot USD/CNY close of 6.6790. The basket implied change is 194 pips higher than the previous official spot USD/CNY close (6.6984 from 6.6790)."

USD/JPY Chart, 15-Minute Spot rate:  112.99 Relative change:  0.13% High:  113.07 Low:  112.82

Dollar surging against the Japanese Yen as traders ramp up the Greenback, looking to mark in a fresh high for 2018 and erase the first half's bearish tone.Resistance levels above the 114.00 major handle represent significant challenges for buyers.The bullish trend from 2018's bottom at 104.60 has been decidedly bullish as the USD continues to shake off major institutional calls for a further-weakening Dollar in 2018.USD/JPY Chart, 15-MinuteSpot rate:  112.99 Relative change:  0.13% High:  113.07 Low:  112.82     Trend:  Bullish     Support 1:  112.21 (previous day low) Support 2:  111.64 (61.8% Fibo retracement level) Support 3:  110.76 (July 11th swing low)     Resistance 1:  113.07 (current week high) Resistance 2:  113.38 (2018 high) Resistance 3:  114.72 (November 2017 high)  

NZD/USD Chart, 15-Minute Spot rate:  0.6770 Relative change:  -0.17% High:  0.6785 Low:  0.6766

The Kiwi is pushing back into the week's lows as the NZD steps down against the US Dollar, which is getting a boost from a hawkish Fed chair Jerome Powell.Firm bearish trend is still in place on higher timeframes, traders should keep bias shifted to the short side and wait to sell on pullbacks.A failure for the bulls to break through the year's low at 0.6686 could see a sharp reversal develop.NZD/USD Chart, 15-MinuteSpot rate:  0.6770 Relative change:  -0.17% High:  0.6785 Low:  0.6766     Trend:  Bearish     Support 1:  0.6753 (previous week low) Support 2:  0.6705 (100.0% Fibo expansion level)  Support 3:  0.6686 (2018 low; major technical bottom)     Resistance 1:  0.6785 (current day high) Resistance 2:  0.6839 (current week high) Resistance 3:  0.6858 (previous week high)  

Forex today was mostly about the pound and Fed Chair Powell’s upbeat testimony which supported the US dollar index that ended the day up 0.5% on the d

Forex today was mostly about the pound and Fed Chair Powell’s upbeat testimony which supported the US dollar index that ended the day up 0.5% on the day. 
While Powell reiterated that, "for now - the best way forward is to keep gradually raising the federal funds rate," 'gradual hikes' was the main takeaway which lifted stocks and left US 10yr treasury yields ranging sideways between 2.85% and 2.87%. However, the 2yr yields, which are more sensitive to rate talk and data, climbed from 2.59% to 2.61% which was the highest level since 2008. The Fed fund futures yields continue to price 1 ½ more hikes in 2018. For sterling, it was quite a session in NY on the back of Monday's concession to pro-Brexit hardliners while lingering Brexit angst made for a volatile time over the voting customs union. The government survived this attempt by pro-EU Conservative MPs to change its post-Brexit trade strategy where the MPs wanted the UK to join a customs union if it didn't agree a free-trade deal with the EU. The government won by 307 to 301, where otherwise, a customs union would likely stop the UK striking new trade deals. The pound dropped to 1.3068, by 2018 low (1.3050) during the infighting of parliament and then skyrocketed to a high of 1.3150 on the winning vote before drifting back lower and steeply to an NY close of 1.3114. Prior to that, the pound was sliding from 1.3267 after the UK employment data for May showed an expected move back to +2.7%y/y. However, unemployment remained low at 4.2%, but there was a minor +7.8k rise in jobless claims for June. In all of that, EUR/GBP ended NY 0.8883 +0.41%, within the NY range between 0.8915-0.885. As for the euro, the DE-US yield spread widened and supported the DXY, weighing on the euro and sending the pair down below the 21-D SMA at 1.1657 to a low of 1.1648. USD/JPY was climbing from 112.25 to 112.90, closing the gap on 2018's 113.40 high on Powell's testimony as yen loses its safe haven status to the Swissy and the dollar.     Bulls have eyes further ahead at 114.73 as the Nov high and the 115 broad range top as key breakout points. For the Aussie, the gains inspired by RBA minutes eroded in Europe's morning and AUD/USD lost its footing from 0.7435 to 0.7376, while the AU-US yield spreads widen. Copper and iron-ore continued to weigh as well although the pair was bouncing back to 0.7390 into the close as the dollar gave back some gains. NZD dropped from 0.6840 to 0.6769, reversing all yesterday’s post-CPI data gains.Key notes from US session:Fed's Powell: Gradually raising rates is way to extend U.S. Economic expansionWall Street closes higher boosted by Fed's Powell's optimistic remarksBreaking News: UK Government wins the vote on critical trade bill amendmentUK: Senior Tory asks Brexit referendum to be re-run amid evidence of 'cheating' - The GuardianKey events ahead (Source, Westpac Banking Corporation):Australia: Jun Westpac-MI Leading Index is released. UK: Jun CPI is expected to rise 0.2%, while the core measure is seen to be contained, holding at a 2.1% annual pace. US: Fed Chair Powell delivers his follow up testimony to the House. The Fed release their Beige Book providing a summary of conditions across the 12 districts. Jun housing starts and building permits are out. Aside from month to month volatility, the trend remains supportive of investment in the sector.

AUD/USD Chart, 15-Minute Spot rate:  0.7380 Relative change:  -0.05% High:  0.7387 Low:  0.7378

Aussie flubbed Tuesday as the Greenback rebounded against broader markets on a hawkish showing from Fed chair Powell.Wednesday sees little action on the Aussie calendar, AUD/USD to be driven by market sentiment which currently leans Dollar-positive.A break into recent lows will see a fresh challenge of the year's bottom near 0.7310.AUD/USD Chart, 15-MinuteSpot rate:  0.7380 Relative change:  -0.05% High:  0.7387 Low:  0.7378     Trend:  Bearish     Support 1:  0.7375 (previous day low) Support 2:  0.7359 (previous week low) Support 3:  0.7309 (2018 low; major technical bottom)     Resistance 1:  0.7400 (major technical level) Resistance 2:  0.7416 (61.8% Fibo retracement level) Resistance 3:  0.7441 (current week high)  

Greg Gibbs, Founder, Analyst, & PM at Amplifying Global FX Capital Pty Ltd, an Australian financial services company, explained that AUD faces a numbe

Greg Gibbs, Founder, Analyst, & PM at Amplifying Global FX Capital Pty Ltd, an Australian financial services company, explained that AUD faces a number of downside risks.Key Quotes:"These include a weakening housing market, a persistent jump in Australian bank funding costs, tightening credit conditions for Australian borrowers, tightening shadow-finance in China, a slowing Chinese economy, and threats related to a trade war between the US and China." "However, to date, China is managing its economy and financial sector to prevent more than a gradual slowing in activity. Chinese steel production growth remains solid and Australian commodity prices are holding above their average for the last two years." "Australia is taking a bigger share of Chinese iron ore imports, and its material sector is being supported by a combination of a weaker AUD and stable commodity prices. Australia’s external balance appears structurally stronger." "Private business investment is growing solidly, supported by infrastructure demand, as the mining investment downturn tapers out. Overall business conditions have ebbed in recent months but remain well above average." "Consumer confidence has lifted to moderately above average, showing little fallout, yet, from a weaker housing market. We expect the AUD/USD to be hemmed into a 70/75 range with a bias to expect further falls."

According to reporting by Reuters, US Defense Secretary James Mattis is open to holding talks with Russian Defense Minister Sergei Shoigu, a move that

According to reporting by Reuters, US Defense Secretary James Mattis is open to holding talks with Russian Defense Minister Sergei Shoigu, a move that hasn't been made since 2015.Key quotes"The possibility of talks surfaced after Monday's controversial summit in Helsinki between U.S. President Donald Trump and Russian President Vladimir Putin, in which they sought an end to years of strained relations. Trump was heavily criticized at home for not holding Putin accountable in Helsinki for meddling in the 2016 U.S. election, an allegation that Moscow denies. Discussions between Mattis and Russian Defense Minister Sergei Shoigu would be another step toward creating more regular top-level political talks between the two nuclear powers, whose relations have deteriorated in recent years to the worst point since the Cold War. Two U.S. officials, speaking to Reuters on condition of anonymity, said Mattis was open to the possibility of talks. They did not suggest he was actively seeking discussions with Shoigu, either in person or by telephone. The Russian military is reaping political dividends from what the Kremlin saw as its big successes in Crimea, annexed from Ukraine in 2014, and Syria, where Russian forces helped turn the tide of a civil war in Moscow ally President Bashar al-Assad's favor in 2015. Shoigu is a critic of the United States and was quoted last week telling an Italian newspaper that Russia would always work to counter what he described as America's "neocolonialism strategy." Shoigu said the strategy was aimed at destabilizing countries like Iraq and Libya for U.S. financial gain. Former U.S. officials said former President Barack Obama's last two defense secretaries - Chuck Hagel and Ash Carter - came to the conclusion after attempts to hold meaningful dialogue with Shoigu that the discussions were not worth their time. Derek Chollet, a former senior Pentagon official who was present during talks with Shoigu under the Obama administration, doubted that Mattis would find any discussions very productive. "Perhaps Mattis feels as though he has to test the proposition for himself, but I don't hold out much hope that he's going to get anywhere. If anything, he could expose himself as out of step with his boss," Chollet said, referring to Trump."

Analysts at Westpac noted in a market wrap that US equities rose, led by the technology sector, (the NASDAQ index up 0.6% to a fresh record high). Ke

Analysts at Westpac noted in a market wrap that US equities rose, led by the technology sector, (the NASDAQ index up 0.6% to a fresh record high).Key Quotes:"The US dollar and short-term bond yields also rose before and after Fed Chair Powell’s upbeat testimony. US Fed Chair Powell made an uneventful appearance in front of the Senate Banking Committee, reiterating that, "for now - the best way forward is to keep gradually rising the federal funds rate." On the economy he remained upbeat, citing accommodative financial conditions, a firm global picture and tax cuts. Powell noted uncertainties on trade policy, “it is difficult to predict the ultimate outcome of current discussions”, but despite that he felt the risks were “roughly balanced” with the most likely path for the economy being one of continued jobs gains and moderate inflation." "US industrial production jumped a solid 0.6% in June, but a large 0.4ppt downward revision to the prior month, taking May’s reading to -0.5%, portrays a less impressive picture. Most of June’s gain came from rebounding motor vehicle production which had fallen sharply in the prior month due to supplier disruptions. The National Association of Homebuilders sentiment survey held steady at an elevated 68.
UK employment data for May showed an expected drift back to +2.7%y/y in weekly ex-bonus earnings (peaked at 2.9%y/y in March). Though unemployment remained low at 4.2%, there was a minor +7.8k rise in jobless claims for June." "The GDT dairy auction was mixed, resulting in a 1.7% fall in prices overall, with whole milk powder up 1.5% and butter down 8.1%. The US dollar index is up 0.5% on the day. EUR fell from 1.1745 to 1.1650. USD/JPY rose from 112.25 to 112.90. AUD fell from 0.7435 to 0.7376, before bouncing back to 0.7390. NZD fell from 0.6840 to 0.6769, reversing all yesterday’s post-CPI data gains. AUD/NZD bounced off 1.0860 to 1.0895." "US 10yr treasury yields ranged sideways between 2.85% and 2.87%, while 2yr yields seemed to respond to the firmer data and Powell, rising from 2.59% to 2.61% - the highest level since 2008. Fed fund futures yields continued to price 1 ½ more hikes in 2018."
 

According to meda wesbite Sputnik News, the US Department of Justice has added further charges against Russian national Mariia Butina. Butina was deta

According to meda wesbite Sputnik News, the US Department of Justice has added further charges against Russian national Mariia Butina. Butina was detained on charges of conspiracy to act as a foreign agent, and is now also being charged with acting as a foreign agent. The Russian embassy in Washington, DC urgently requested consular access to Butina, a request that the DoJ promptly denied. Russia has been pushing to gain access to Butina ever since she was arrested on Sunday on conspiracy charges after evidence showed Butina was working closely with Russian officials to develop open communication between the Kremlin and the US National Rifle Association (NRA).Key quotes"The US Department of Justice announced an additional charge for detained Russian national Mariia Butina on Tuesday, one day after she was accused of conspiring to act as a foreign agent. The US government announced on Monday that Butina, 29, had been indicted for conspiring to act as a foreign agent for Moscow. With the latest additional alleged crime, Butina is seen by US authorities as having materially acted as a foreign agent in addition to conspiring to be one.  A grand jury indicted the individual on Tuesday on the second charge. The indictment was filed in a Washington DC federal court, Bloomberg reported. "Between in or around January 2015 and up to and including the present, in the District of Columbia and elsewhere, defendant Mariia Butina, also known as "Maria Butina," did act within the United States as an agent of a foreign government," the new indictment said." Butina, a longtime advocate of gun rights in Russia and a recent graduate of DC's American University, where she studied international relations, is widely believed to have worked with the US National Rifle Association (NRA). She is accused of conspiring with a Russian official via email and Twitter direct messages as well as emailing a US "person in an effort to develop, maintain, and exploit a relationship," among other similar offenses."

According to reporting by Bloomberg, the Trump administration is planning to begin an investigation into uranium imports which could lead to further b

According to reporting by Bloomberg, the Trump administration is planning to begin an investigation into uranium imports which could lead to further border tariffs on national security grounds.Key quotes"U.S. uranium producers Energy Fuels Inc. and Ur-Energy Inc. filed a petition in January asking the Commerce Department to investigate the matter under Section 232 of the 1962 Trade Expansion Act, the same provision the president used to slap tariffs on steel and aluminum imports. U.S. industry wants the government to shield it from competition from state-owned companies in countries including Russia and Kazakhstan. A uranium investigation would add to trade tensions that the IMF warns represents the biggest risk to the global economy. Imposing uranium duties would deal another blow to nuclear power plants already struggling with low electricity prices and flat demand. However, U.S. miners supply less than 5 percent of domestic consumption for the metal, and they argue it’s increasingly difficult to compete with state-subsidized companies in Russia, Kazakhstan and Uzbekistan. “The global uranium market is not a level playing field,” said Paul Goranson, chief operating officer of Energy Fuels. “It’s put the country at a real risk, because we’re increasingly dependent on these state-owned companies which obviously have different global strategic objectives than we do.” U.S. producers want about 25 percent of the domestic market to be reserved for American miners, which produced about 1.2 million pounds last year, the lowest in at least 25 years. Commerce Secretary Wilbur Ross told the Senate Finance committee last month that he would make a decision on the uranium probe “very shortly.” “It’s complicated by some prior agreements that exist but we are sorting through it and we will come to a conclusion very, very quickly,” Ross said."

The AUD/USD is back below 0.74, currently testing near-term support at 0.7385 after a bullish showing on Tuesday for the US Dollar. The latest showin

Aussie sputters as the USD bounces higher on a hawkish Fed chairman Powell.Wednesday is a thinned-out showing for the Asia session, and traders will be turning their eyes towards Powell's second Senate showing for the week.The AUD/USD is back below 0.74, currently testing near-term support at 0.7385 after a bullish showing on Tuesday for the US Dollar. The latest showing from the Reserve Bank of Australia (RBA) showed the central bank leaning towards an upwards interest rate hike, but only if key economic indicators for the Australian economy continue to improve, and rising trade tensions are keeping the RBA in a dovish stance, and markets are continuing to price in the odds of a rate hike from the Assie central bank not happening until far into the future. Meanwhile, the US Fed's Jerome Powell struck a decidedly hawkish tone, talking up the US economy's growth potential, while also downplaying inherent risks from trade frictions with China, sending the US Dollar higher and forcing down Gold prices, dragging the Aussie lower through Tuesday's action.  Early Wednesday will be seeing the Westpac Leading Index for June at 00:30 GMT, but the impact on the AUD is expected to be limited from the low-tier indicator, which last printed at -0.2%. Later on in the upcoming US session, Fed chairman Jerome Powell will undergo day two of his Senate testimony on the Semiannual Monetary Policy Report before the House Financial Services Committee, and traders will be looking for any key hints dropped about the US Fed's forward guidance.AUD/USD levels to watchThe Aussie has once again softened against the Greenback as metals prices get forced down by an optimistic market, and as FXStreet's own Valeria Bednarik noted, "the pair is technically neutral-to-bearish as in the 4 hours chart, it is currently below the 20 and 100 SMA, both directionless and in a tight 10 pips range, while technical indicators head entered negative territory, maintaining their downward slopes but coming from a consolidative stage around their midline. The downward momentum will likely accelerate on a break below 0.7370, the immediate support." Support levels: 0.7370 0.7335 0.7310  Resistance levels: 0.7410 0.7450 0.7490

Analysts at ANZ offered a snapshot of global markets. Key Quotes: "US equities gained overnight alongside a higher USD, while yields were little cha

Analysts at ANZ offered a snapshot of global markets.Key Quotes:"US equities gained overnight alongside a higher USD, while yields were little changed. Oil found some stability, and gold fell through technical support. US equities were up 0.1-0.6% with materials and consumer staples leading gains." "Netflix opened down 15% but has rebounded 10% through the New York afternoon. European bourses were also higher by 0.2-0.8%." "The USD rose against the G10 with GBP underperforming. " "Prime Minister May narrowly survived another revolt in the Brexit saga." "Oil found some stability with WTI unchanged and Brent up 0.4%. Gold fell to $1228/oz." 

Analysts at Nomura explained that Chair Powell’s testimony to the Senate Banking Committee provided few new insights into the course of Fed policy. 

Analysts at Nomura explained that Chair Powell’s testimony to the Senate Banking Committee provided few new insights into the course of Fed policy. Key Quotes:"Powell’s prepared remarks and Q&A indicated no material shift from the outlook the FOMC presented at the June FOMC meeting. There was one notable change in Powell’s language. In his prepared remarks, he stated, “the FOMC believes that—for now—the best way forward is to keep gradually raising the federal funds rate.” The qualification of “for now” was new. It seems unclear why it was added." "During Q&A, Chair Powell avoided any suggestion that the Committee was leaning one way or another. Powell did not talk about the prospect of a "pause" in Fed hiking. On the other hand, he did not stress the potential risks of inflation and financial stability from firming labor markets. In this context, the addition of “for now” was, perhaps, meant to emphasize that the FOMC’s interest rate path is not completely on autopilot."

Analysts at TD Securities explained that Powell's testimony offered little to go by for FX markets, though broad based USD strength against the G10 wa

Analysts at TD Securities explained that Powell's testimony offered little to go by for FX markets, though broad based USD strength against the G10 was the name of the game with notable laggards that included GBP, JPY and CAD. Key Quotes:"GBP has come under newfound pressure following the Trade Bill vote. 1.3050 offers next support for cable." "This comes against a backdrop muted G7FX vol. Our positioning metrics suggest the market is sitting net long USDs, though still not an extreme. Without a durable macro catalyst however, the combination of a summer lull and carry costs suggest the prevailing 93.50/95.50 DXY range could persist for a while yet." "Treasuries saw little reaction to Powell's testimony, but will continue to look for the Q&A from day two of testimony for any surprises. Trade war concerns appear to have dissipated and strong earnings momentum appears to be keeping risk markets elevated, weighing on Treasuries."
 

Crude oil met a fresh selling wave in the post-settlement trading hours after the weekly data released by the American Petroleum Institute showed a su

Weekly API report shows a 629,000 barrels increase in U.S. crude stocks.WTI comes under selling pressure after settling for the day at $68.08.Crude oil met a fresh selling wave in the post-settlement trading hours after the weekly data released by the American Petroleum Institute showed a surprise build in crude oil stocks in the United States. The barrel of West Texas Intermediate, which was flat on the day when it settled near $68, broke below $67 and was last seen trading at $66.70. The API on Tuesday announced that crude inventories increased by 629,000 barrels during the week ending July 13 to 410.7 million to surpass the Reuters' estimate for a decrease of 3.6 million barrels. Further details of the report revealed that refinery crude runs dropped by 279,000 barrels per day. Earlier today, crude oil prices extended their losses after the oil production in Libya rebounded with eastern ports reopening. However, news of Venezuela shutting down two major crude upgraders for scheduled maintenance paved the way for a late recovery. "Every time there's an update that the situation in Venezuela is, in fact, worsening, it props up the market," John Kilduff, a partner at Again Capital Management in New York, told Reuters on Tuesday. On Wednesday, investors are likely to remain focused on the developments in Libya and Venezuela ahead of the weekly EIA stock report, which is expected to show a 3.5 million barrels draw in crude inventories, scheduled to be released in the NA session.   

EUR/USD 15-minute chart  Spot rate:              1.1657 Relative change:   -0.42%   High:                     1.1745 Low:                      1

EUR/USD had a failed breakout above 1.1740 earlier in Europe after which it lost almost a 100 pips to the downside. After it made a daily low at 1.1649, prices remained contained below 1.1672 which is now acting as near-term resistance. The bears are quite strong and EUR/USD should progress lower as long as it stays below 1.1672 and 1.1700 resistances. The idea of bull breakout above 1.1740 seems at the moment unlikely unless a fundamental catalyst shocks the market. Bear targets are seen near 1.1640-1.1649 area and 1.1613, last week's low.  
 EUR/USD 15-minute chart Spot rate:              1.1657
Relative change:   -0.42%  
High:                     1.1745
Low:                      1.1649 Trend: Bearish Resistance 1: 1.1672 June 27 high
Resistance 2: 1.1700 figure
Resistance 3: 1.1730-1.1740 area, 23.6% Fibonacci retracement from mid-April-May bear move and last week’s open.
Resistance 4: 1.1790 last week’s high
Resistance 5: 1.1851-1.1854 area, June high and 38.2% Fibonacci retracement from mid-April-May bear move Support 1: 1.1640-1.1649 area, key level and July 12 low 
Support 2: 1.1613 last week's low
Support 3: 1.1600 figure 
Support 4: 1.1560 June 14 low
Support 5: 1.1508 current 2018 low