OANDA:XAUUSD is currently moving slowly on a bullish trend platform, with the price fluctuating around $2,868 and rising by approximately 0.45% on the day. Inflation remains on an upward trajectory, and gold is responding as a safe-haven asset. "Gold is on track to reach $2,900 per ounce, and market sentiment remains highly optimistic, despite the short-term strength of the U.S. dollar." Furthermore, recent statements from Federal Reserve officials indicate that major policy uncertainties—including tariffs and other issues stemming from the early days of former President Donald Trump's administration—are among the biggest challenges in determining monetary policy direction in the coming months. Currently, the market's focus is on the upcoming Non-Farm Payrolls (NFP) report, set to be released on Friday, which will provide further insights into the overall strength of the economy and the Fed’s policy path. Theoretically, a disappointing jobs report could strengthen the case for interest rate cuts in the U.S., thereby boosting gold prices. However, the opposite scenario is also possible. From a technical standpoint, gold prices may decline from the $2,870 resistance level to accumulate liquidity and prepare for further upward movement. Specifically, the price could react to lower trend boundaries and the previously broken resistance of the ascending channel. There are no fundamental or technical reasons to break the current trend, and growth may resume after a potential false breakout. Regards Bentradegold!
Bitcoin has been a textbook triangle pattern on daily charts with 5 touches on triangle lines, a breakout with higher volume and with triangle lines getting retested thrice. 97k entry is a good long trade with target at 134k.
My bad...typo On the title. We are pushing up well to the plotted GETTEX:97K target on this leg of the Parallel price channel swing. Follow the pattern until it breaks
Broke 21k Hope to see continuation to 23k and 25k https://www.thestandard.com.hk/section-news/section/8/269950/Tech-brigade-propels-stocks-toward-21,000-mark AI and tech All the best. Not a guru
As we have been tracking the recent swings, Consolidation has transitioned into $2K added LQ upticking back to retest $99K target. Bullish 200MA crossover coming up. Time frame of 8pm PST (next 90 minutes still on the table) RSI, MACD & SuperTrend looking more bullish than last peek hours ago. We are still on the right path to profits.
The relentless rise of the U.S. dollar is sending ripples of concern through the global economy, and businesses are taking notice. Faced with a strengthening greenback, corporations are increasingly turning to foreign exchange (FX) hedging strategies to mitigate the impact of currency fluctuations on their bottom lines. This surge in hedging activity reflects a growing awareness of the risks associated with currency volatility and a proactive approach to protecting profits in an increasingly uncertain global landscape. The Dollar's Dominance The U.S. dollar has been on a tear, appreciating significantly against a basket of other major currencies. This surge is driven by a confluence of factors, including the Federal Reserve's hawkish monetary policy, safe-haven demand amid geopolitical tensions, and the relative strength of the U.S. economy. While a strong dollar can have some benefits, such as lower import costs, it also poses significant challenges for multinational corporations.1 Impact on Corporate Earnings For companies that generate revenue in foreign currencies but report earnings in U.S. dollars, a strong dollar can create a significant headwind. When foreign revenues are converted back into dollars, they are worth less than they were before the dollar's appreciation. This can lead to lower reported earnings, even if the company's underlying business performance remains strong. Conversely, companies that import goods priced in dollars but sell them in other currencies see their profit margins squeezed as their input costs rise. The Hedging Imperative In this environment of heightened currency risk, FX hedging has become a crucial tool for corporations.2 Hedging involves using financial instruments, such as forward contracts, options, or swaps, to lock in exchange rates for future transactions.3 This allows companies to insulate themselves from adverse currency movements and provides greater certainty about their future cash flows and earnings.4 Surge in Hedging Activity Market data suggests a significant uptick in corporate FX hedging activity. Treasurers and finance departments are increasingly prioritizing currency risk management, recognizing that even small fluctuations in exchange rates can have a material impact on their financial results. This increased focus on hedging is driven by several factors: • Heightened Volatility: The dollar's rapid appreciation has created significant volatility in currency markets, making it more difficult for companies to predict future exchange rates. This uncertainty underscores the need for hedging strategies to protect against unexpected currency swings. • Earnings Protection: As mentioned earlier, a strong dollar can erode corporate earnings. Hedging allows companies to mitigate this risk and ensure that their financial performance is not unduly impacted by currency fluctuations.5 • Strategic Planning: Hedging provides greater predictability in cash flows, which is essential for strategic planning and investment decisions.6 By locking in exchange rates, companies can make more informed decisions about future investments and expansion plans.7 • Shareholder Expectations: Investors are increasingly scrutinizing companies' currency risk management practices. Companies that proactively hedge against currency risks are often seen as more prudent and better managed, which can be a positive factor for investor confidence. Types of Hedging Strategies Companies employ a variety of hedging strategies depending on their specific needs and risk tolerance.8 Some common approaches include: • Forward Contracts: These contracts obligate a company to buy or sell a specific amount of currency at a predetermined exchange rate on a future date.9 This is a straightforward way to lock in exchange rates for future transactions. • Options: Currency options give a company the right, but not the obligation, to buy or sell currency at a specific price on or before a certain date.10 Options provide flexibility and allow companies to benefit from favorable currency movements while limiting their downside risk.11 • Currency Swaps: These agreements involve exchanging principal and/or interest payments in one currency for those in another currency.12 Swaps can be used to manage currency risk associated with long-term debt or investments.13 Challenges and Considerations While hedging can be an effective way to manage currency risk, it's not without its challenges. Hedging strategies can be complex and require specialized expertise. Furthermore, hedging involves costs, such as premiums paid for options or fees for forward contracts.14 Companies need to carefully weigh the costs and benefits of hedging and choose strategies that are appropriate for their specific circumstances. Looking Ahead The strong dollar is likely to remain a significant factor in the global economy for the foreseeable future. As such, corporate FX hedging is expected to remain a priority for multinational companies. Companies that proactively manage their currency risk are better positioned to navigate the challenges of a strong dollar environment and protect their earnings from adverse currency movements.15 The current surge in hedging activity reflects a growing recognition of this reality and a proactive approach to mitigating currency risk in an increasingly interconnected world. As global economic conditions evolve, companies will need to remain vigilant and adapt their hedging strategies accordingly to ensure they are adequately protected from currency volatility.
6 FEB 2025 Bought 1.4 SOLUSD at 195.00 We are near -2.5 Standard Deviation Range. The chances of it staying here are slim. Also paired with the liquidation heat maps. Seems like an easy gain.
There is a possible H&S forming and if it does complete its structure the price of Solana would be low.
6th Feb 2025 DXY: Retracing from 107 support area, look for reaction between 107.90 and 108.30, above 108.30 could trade up to 109. NZDUSD: Sell 0.5640 SL 20 TP 50 AUDUSD: Buy 0.6280 SL 30 TP 80 (hesitation at 0.6330) GBPUSD: Straddle Rates Decision Pending Sell 1.2430 SL 30 TP 100 Buy 1.2510 SL 30 TP 100 EURUSD: Sell 1.0320 SL 30 TP 90 USDJPY: Buy 153.65 SL 40 TP 90 EURJPY: Sell 157.75 SL 40 TP 120 GBPJPY: Sell 189.70 SL 50 TP 145 USDCHF: Sell 0.90 SL 25 TP 80 (hesitation at 0.8975) USDCAD: Buy 1.44 SL 30 TP 60 XAUUSD: Retracing, could test 2840 (50%) and bounce higher to 2900
In this video i share some insights into my thought process as to how i took the trade and the confluences i had my eyes on and how i managed the trade