Skip to main content

Is Powell trying to keep his Job?- EUR/USD tests 1.0802

The EUR/USD is just now testing that 1.0802 level noted here several times before. As also noted in a previous update this morning, that German sales data is not doing the Euro any favours and the comments from the Fed governor, Chris Waller last night have added weight to the downside move too. In respect of those comments it suggests to this author; that the really quite dovish comments from the Fed boss, Jerome Powell are at odds with the thoughts of many of his colleagues. That was clear from what Waller said last night. What is also clear, is that Powell will lose his job if Trump gets back into the Whitehouse. The Fed is in a tight spot politically because any rate cuts after June would smack of a politically driven shift. However, rate cuts right now would strengthen the case for Biden to cling to power and hence keep Powell in his job- just saying folks. Meantime, the EUR/USD just traded to 1.0801 but no lower yet. It is possible there might just be a digital option in place at 1.0800 and if that is the case, it would explain the stickiness of the price action and not yet taking out that 1.0800 level, when all that has transpired most lately would suggest that it should 
 

Ready to Get Started?

Start here. Join 2.9M Libertex users around the world!