Monday starts in a positive mood

It looks like the new week kicked off in a risk-on environment as the USD dropped and equities + commodities are pushing higher.

It looks like the downward trend in the EURUSD pair lacks a solid momentum, and the pair is still trading near its key support of 1.17. Therefore, chances remain for a meaningful bounce from these levels.

During the US session, existing home sales for July are expected to show a slight decline amid soaring home prices. Additionally, the US PMI will be released, and the composite index is forecast to slow a bit to 58.3, from 59.9 previously. 

Lastly, the European consumer confidence for August will be released, and it should continue pointing to a negative sentiment among EU consumers. 

From other news, equities sold off notably during the last week, but Thursday and Friday saw some strong buying, with the dip-buying strategy still well and alive. On Monday, US and EU indices were trading circa half a percent stronger during the EU session. 

The critical event of this week is the Jackson Hole Symposium, starting on Thursday. Many investors and market participants expect Jay Powell to announce plans to start tapering the QE program. The question is, how much is this already priced in. 

Source: https://www.axiory.com/market-news/monday-starts-in-a-positive-mood