President Trump accused China and Russia of depreciating their currencies, breaking from his own administration’s view that no major trading partners are currency manipulators.
Trump took to Twitter on Monday to declare that China and Russia are playing what he called a “currency devaluation game” at a time when the U.S. Federal Reserve is raising interest rates. “Not acceptable!’’ Trump wrote.
The attack added fuel to the brewing trade dispute between the U.S. and China and drew swift criticism from Russia, which the White House recently imposed sanctions on and collided with over Syria. The Bloomberg Dollar Index moved down to its lowest level since March 26 after Trump’s tweet, while Treasuries fluctuated.
On the other side, the release of China’s GDP is 6.8 % after the forecast which was 6.8% too.
Eyes will be on US building permits on 12:30 GMT
On the daily chart, as shown, there’s a consolidation area which narrows with time until presently reached 1.2395
With a breakout of the channel from the low of October 2017 which the price has rejected
So we overview a retest to this area that will be critical as it decides whether to fall back again or it was a false break
Also, the pair’s near the lower trend line from the high of 2008 and the resistance 1.2515
On 4H chart, the price is at a crucial point as it hit the broken up channel along with lower trend line (as shown)
If there’s any rebound from these level, bears will be ready to attack
On the daily chart, the price has accomplished a correction to the 38.2% Fibonacci level which is located at the same resistance level 107.8
Last February, the pair had broken the upper trend line from the low of 2011, maybe it has not enough potential to retest it now
The price has formed a very decisive continuing pattern (flag), that maintain the bearish bias
On 1H frame, the price broke the lower trend line which is considered as wedge too (reversal pattern)
As we see, there are many tops that couldn’t make some bullish noise
As the price is walking through a rectangle, there is a possible correction waving ahead.
On 1H frame, the price broke the trend line that connected the higher lows, then broke up the rising channel rebounding from the resistance 1348.9.