Strong Trends During Asian Session

JPY

The latest security issues in North Korea has affected stocks in Asia, though the Japanese Yen soon stepped up to recover most of its initial losses.

The pair of USD/JPY increased to 111.67 early in the session before sliding back to 111.45; CHF/JPY also went up initially to 113.44 before falling to 113.25, and EUR/JPY started trading at 132.30 before decreasing down to 132.12. Then at 10am New York time, our Forex trading team noticed a strong opportunity to buy the EUR/JPY at the entry price of 133.32. Our Trade Copier closed the trade with 50 pips and the trade flew through our 60 pip target moving 100 pips past our Entry Point!

GBP

The sterling continued its strong performance against other major currencies, with the main catalyst being the optimistic view over Brexit deals.

Sterling Hits 2-Month Highs On Brexit Breakthrough Bets

The GBP responded positively to the latest development on Brexit as the currency rose to a two-month high. This was despite the concerns that there are some differences on the key conditions of the negotiation.

The Daily Telegraph mentioned that the net bill for Britain leaving the EU is around 45 to 55 billion pounds ($53 to $65 billion), with expectations rising that the deal would soon be agreed.

ECB’s financial stability review

On Wednesday, the European Central Bank released its financial stability report for the continent. Their outlook wasn’t new such as their conclusion that the economic expansion of the region is becoming more resilient, with risks to its forecast now broadly balanced.

EUR

The euro happened to be the worst performing currency at the beginning of Thursday’s London session but made a nice recovery during the American session.

Yellen: Recovery “Increasingly Broad Based” In Both U.S. And Worldwide

According to the outgoing Fed Chair Janet Yellen, the economy of the U.S has been picking up steam so far this year and this will make it easy for interest rates increase as global recovery is on the way.

In her opening remark to the Joint Economic Committee, Yellen stated that “The economic expansion is increasingly broad-based across sectors as well as across much of the global economy.”

Dollar Poised For Monthly Loss, Brexit Deal Hopes Lift Sterling

The greenback performed well on Thursday but it is still on track to record a monthly loss to its major competitors. Investors and traders are watching closely at the events of the U.S. tax reform legislation. The GBP, on the other hand, continued its rise due to the optimism of Brexit deal being near.