Charts and Market Updates November 27, 2019

Good day traders! Check now the most recent charts and market updates for today’s session. Learn more about analysis and be updated on the current happenings in the market!

USDBRL

Yesterday was a close call for Brazilian traders as the pair almost climbed to R$4.2700 in sessions. The Brazilian central bank intervened twice as they try to prevent the Brazilian real from losing against the US dollar again. However, bears are worried that if the US dollar gets a sudden boost, it might lead to a breakout for the greenback in sessions. Earlier today, the head of the Central Bank of Brazil Roberto Campos Neto said that the bank is ready to intervene again if deemed necessary. Campos Neto, however, cleared that the intervention won’t have an effect on the long-term performance of the Brazilian real. Some traders are pointing at Guedes, Brazil’s Economy Ministry, and his speech in Washington on Monday as the main cause of the real’s weakness this week saying that bulls took that as an opening to push the real further. Anyhow, it is still expected that once the boost fades the pair will eventually hit its resistance.

USDSGD

The worst may have been over for Singapore’s economy, but its still not over for the Singaporean dollar as economists say that its recovery will be sluggish. A breakout for the US dollar isn’t expected anytime but the USDSGD pair is expected to continue to ascend in sessions. The Singaporean dollar’s weakness this week came in after the country’s export figures reportedly went down. According to Enterprise Singapore, the country’s exports contracted 9.6% on a Year-over-Year basis for the third quarter of the year. In total, Singapore’s merchandise trade went down by 6.7% last quarter. Traders are worried because just last month, the Monetary Authority of Singapore said that they would slightly ease the speed of appreciation of the Singaporean dollar. The trade-reliant economy of Singapore, which is vulnerable to foreign economies, might hinder the Singaporean dollar from recovering some of its losses against the US dollar.

AUDJPY

The Australian dollar regained confidence after the country’s construction data eased expectations for another rate cut by the Reserve Bank of Australia. Australia’s construction work accomplished went up to -0.4% in the third quarter of the year from -2.8% prior. The Aussie felt a sigh of relief as it surged past -1% projections by experts. While Australia’s interest rates are relatively low, traders are confident that the bank will not push it to negative levels. The Australian dollar is also benefitting from the hopes surrounding the US-China trade war, which in turn pushes pressure against the Japanese yen. Anyhow, the RBA Governor Philip Lowe recently turned down the idea of a Quantitative Easing (QE), saying that it is not part of the agenda of the central bank. Lowe then cleared that the bank is prepared to maneuver if the country’s unemployment rate rises or when the inflation contracts further.

NZDCAD

New Zealand dollar will have a tougher time pushing the Canadian dollar upward in the short term as one of the CAD’s short-term weakness, the strike, has finally ended. After 8 days of unrest, Canada’s longest-running railroad strike, the biggest in a decade, ended yesterday. The Canadian National Railway corp. reached an agreement with its employees to restore grain exports and transport of heating fuels and chemicals. But despite that, the NZDCAD pair is still expected to continue to climb past its resistance, which is already near, as the kiwi receives support from the Australian central bank. Loonie traders are cautious as the Canadian Imperial Bank of Commerce projected a weaker Canadian dollar next year as the economic growth of the United States shows sluggish figures. This raises expectations for a rate cut by the Bank of Canada soon or in the first quarter of the year.