Market News and Charts for December 24, 2019
Hey traders! Below are the latest forex chart updates for Tuesday’s sessions. Learn from the provided analysis and apply the recommended positions to your next move. Good day and Good Luck!
GBP/USD
The pair will bounce back from a key support line, which will send the pair higher toward its previous high. Following the fallout of the relationship between the United States and Turkey, America has since then shifted its focus in the Baltic and Eastern bloc. This was amid the withdrawal of the US and Russian from the 1987 nuclear pact treaty. The INF (Intermediate-range Nuclear Forces) prevented the two (2) nuclear-armed countries of developing next-generation missiles that can reach Europe. In addition to this, the looming withdrawal of the United Kingdom from the European Union is expected to increase the military cooperation between the two (2) countries. Furthermore, a free trade agreement is expected to be reached once Britain officially leaves the bloc on January 31, 2020. As the two (2) countries integrate their military and economy, US national security advisor Robert O’Brien warned about China’s cyberespionage in the UK.
EUR/USD
The pair is expected to bounce back from an uptrend channel support line, sending the pair higher towards the channel’s middle resistance line. December 24 was the second day of David Calhoun as Boeing’s new CEO. His appointment comes amid the increasing pressure over the company to reacquire its certification for Boeing 737 MAX. 2019 has been challenging for the company following two (2) fatal crashes that killed all 346 people aboard. Boeing promised to get recertification for its flagship aircraft this year, but eventually failed as the year nears to end. Aside from this, the European Union’s plan to make France’s Airbus to become the bloc’s flagship aircraft and to compete with Boeing is succeeding. China, the largest market for Boeing outside the United States, shifted its purchase of aircraft from Boeing to Airbus. A trade war with Europe is also not ideal for Boeing as the EU is expected to retaliate.
USD/JPY
The pair is expected to drop on coming sessions after its failure to breakout from a key resistance line. Japan is moving away from the United States and forging military alliances with non-traditional countries. On December 19, the country hosted Iranian President Hassan Rohuani, the first by an Iranian president since 2000. Japan is looking to utilize Iran’s oil in Japan after being sanctioned by the United States. Furthermore, the two (2) heads of these countries talked about Tokyo’s plan to dispatch its Self Defense Forces (SDF) to the Persian Gulf for investigation and research. Aside from this, Japan, South Korea, and China improved their ties with North Korea to de-escalate tension in the region. During the meeting, these countries urge North Korea and the United States to hold a meeting and discuss NorKor’s denuclearization. This was following the halted meeting between two (2) leaders in November.
USD/ILS
The pair failed to breakout from a major resistance line, sending the pair lower toward a downtrend channel middle support line. US influence in Israel is faltering following the failure by Israeli Prime Minister Benjamin Netanyahu to form a coalition government. Netanyahu is one (1) of the key people that brings Israel closer to the United States. Furthermore, Israel President Reuven Rivlin is improving his ties with Russia. The two (2) countries earlier agreed to swap prisoners – a Russian hacker and an American Israeli woman. The International Criminal Court (ICC) has also expressed its willingness to investigate Israel’s move in Palestine. This move could further hurt Israel’s image in the international community. On the other hand, US President Donald Trump reversed his earlier decision to recognize Golan Heights, West Bank, and Gaza Strip. President Trump’s son-in-law Jared Kushner is an Israeli.
