Market News and Charts for July 29, 2019
Hey traders! Below are the latest forex chart updates for Monday’s sessions. Learn from the provided analysis and apply the recommended positions to your next move. Good day and Good Luck!
EUR/NOK
The pair was expected to breakout from a key resistance line, sending the pair higher towards a major support line. Norway was seen taking advantage of the current economic and political crisis happening in the Middle East following the rising up of Iran against the Western world. Iran is a regional leader in the Middle East together with its rival Saudi Arabia. In 2015, former U.S. President Barack Obama spearheaded the Joint Comprehensive Plan of Action, or most commonly known as the Iran Nuclear Deal, between Iran and the P5+1 (the five permanent members of the United Nations Security Council—China, France, Russia, United Kingdom, United States—plus Germany) together with the European Union. Now, Iran was challenging the U.S. following the withdrawal of U.S. President Donald Trump from the deal. The European Union now joined the effort to contain Iran after its seized British-flagged oil tanker.
The pair was in a free fall after it broke down from a major support line, sending the pair lower towards the nearest support line. Tension between the European Union and Russia increases in the previous years following Russia’s annexation of Crimea in 2014. Crimea is a Ukrainian territory and Ukraine is applying to become a member of the European Union and the NATO (North Atlantic Treaty Organization) through which most of the EU-member states is also a member. Russia has also increasing its military activity on its border with some EU-member states, which prompted the European Union to take tougher stance and sanction the Russian Federation. With the rising Russian military however, trust rating of President Vladimir Putin was seen deteriorating following Russia’s weak economy. Mass protest had erupted to Moscow over the weekend and all protesters were jailed, including Putin’s critics.
EUR/PLN
The pair was expected to fail to breakout from a downtrend resistance line, which signals that the pair will move lower in the following days towards a major support line. European Commission President-elect Ursula von der Leyen met with Poland’s Prime Minister Mateusz Morawiecki last week to discuss the executive body’s agenda, which points out Poland’s migration policies and rules of law. Poland had back the candidacy of Von der Leyen as the commission’s president despite the country looking at the EU institutions as having bad reputations. President Ursula reiterate that Poland is a key country and that she will do everything to unite the 27 EU-member states amid political differences. However, one of the key policies of Von der Leyen was the EU enlargement in the Western Balkan (parts of the former country of Yugoslavia), which Poland and Germany had rejected.
EUR/CZK
The pair was seen to fail to breakout from a major resistance line, sending the pair lower towards a major support line to complete the “Double Top” pattern. The political order inside the European Union is about to change following with election of Boris Johnson as the next leader of the Conservative Party, and in extension the new UK Prime Minister. PM Johnson outgunned Jeremy Hunt, which held the position of Foreign Secretary, the same position Johnson had under Theresa May’s government before his resignation. This will make the Germano-Franco alliance the dominant power in the bloc. German Chancellor Angela Merkel had also meet with the new Danish Prime Minister Mette Frederiksen, who was seen as the next country to fill UK’s role in the bloc. However, following the presidency of Czech Republic in the Visegrad Group, an Eastern and Nationalist bloc, their voice over EU’s decision is seen to increase.