empty
08.07.2025 11:19 AM
What to Watch on July 8th? Fundamental Events Overview for Beginners

Macroeconomic Report Overview:

This image is no longer relevant

No macroeconomic publications are scheduled for Tuesday. However, it cannot be said that the market was idle on Monday despite the lack of key macroeconomic events—there was still enough news for the market to respond to. The U.S. dollar tended to strengthen during the day, which somewhat contradicted the nature of the economic data and developments. We believe that the euro and the pound are currently undergoing another mild technical correction, nothing more.

Fundamental Events Analysis:

This image is no longer relevant

There are no noteworthy fundamental events on Tuesday. Over the past two weeks, there have been many speeches by top officials of the ECB, the Federal Reserve, and even the Bank of England. However, very few significant statements were made, and they had little to no impact on overall market sentiment. The ECB, the Fed, and the Bank of England all express concern about rising inflation, and central banks collectively worry about economic uncertainty due to Donald Trump's tariffs.

The trade war remains the most important issue for the market, and there are still no signs of resolution. In fact, tensions may escalate further in the near term, as Trump has managed to secure only 3 trade deals out of 75 countries. Moreover, it's unclear what there is to be optimistic about when all tariffs introduced by Trump remain in place. The situation with China remains unclear: reports of a deal have circulated, but no details have been disclosed. As for the Vietnam deal, it's hard to say whether it will have any tangible impact. Yesterday, it was also reported that tariffs were raised for Japan and South Korea, and further increases could soon affect the European Union as well.

General Conclusions:

During the second trading day of the new week, both currency pairs may show very low activity, as there are no scheduled major events or data releases. At the same time, the market already has some reasons to sell the dollar following the announcement of higher tariffs on Japan and South Korea.

Basic Rules of the Trading System:

  1. Signal strength is based on the time it takes to form (rebound or breakout). The faster the signal forms, the stronger it is.
  2. If two or more false signals appear near a level, all subsequent signals from that level should be ignored.
  3. In flat markets, many false signals may form—or none at all. At the first signs of a flat, it's better to stop trading.
  4. Trades should be opened between the start of the European session and the middle of the U.S. session. After that, all trades should be closed manually.
  5. On the hourly timeframe, MACD signals should only be used if volatility is strong and the trend is confirmed by a trendline or channel.
  6. If two levels are too close (within 5–20 pips), treat them as a support/resistance zone.
  7. When a position moves 15–20 pips in the right direction, set the Stop Loss to breakeven.

What's on the Charts:

  • Support and resistance price levels: Targets for opening buy or sell trades. Take Profit levels can be placed near them.
  • Red lines: Trend channels or trendlines that show the current trend direction and preferred trade direction.
  • MACD indicator (14,22,3): Histogram and signal line used as a supporting signal source.
  • Key speeches and reports (always listed in the economic calendar) can significantly impact currency pair movements. It's advised to trade with extreme caution or exit the market during these events to avoid sharp reversals.

Note for beginner forex traders:Not every trade can be profitable. Developing a clear strategy and proper money management is the foundation of long-term success in forex trading.

Paolo Greco,
Analytical expert of InstaForex
© 2007-2025
Summary
Urgency
Analytic
Stanislav Polyanskiy
Start trade
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

What to Pay Attention to on August 12? A Breakdown of Fundamental Events for Beginners

There are quite a few macroeconomic releases scheduled for Tuesday. In the UK, important reports on unemployment, jobless claims, and wages will be published today. While we cannot say these

Paolo Greco 07:30 2025-08-12 UTC+2

GBP/USD Overview. August 12: Inflation That No Longer Decides Anything

The GBP/USD currency pair traded with very low activity on Monday. As we have already noted, the fundamental background remains strong and significant, but traders seem to have paused

Paolo Greco 03:32 2025-08-12 UTC+2

EUR/USD Overview. August 12: Never Happened Before – and Here We Go Again

On Monday, the EUR/USD currency pair continued to trade in an extremely calm manner. The macroeconomic background was absent for the second trading day in a row, and the market

Paolo Greco 03:32 2025-08-12 UTC+2

US Inflation Hasn't Even Started Accelerating Yet

US inflation for July may accelerate to 2.8% year-on-year. The corresponding report will be released tomorrow. If the forecasts are confirmed, this will mark the third consecutive month of growth

Chin Zhao 01:07 2025-08-12 UTC+2

How Long Will China's Patience Last?

The White House administration is preparing to introduce new tariffs on imports from China. Discussions on this matter are currently underway, as the "China" issue is more complex than

Chin Zhao 01:06 2025-08-12 UTC+2

The Dollar Is Increasingly Gaining Bullish Momentum

The net short position in USD against major global currencies decreased by 4.2 billion over the reporting week, to -7.1 billion, the lowest level since April. The dynamics of positioning

Kuvat Raharjo 00:33 2025-08-12 UTC+2

Rising Demand for Risk Assets Could Prevent the Yen from Resuming Strengthening

Following the release of the US employment report, the yen strengthened, and the Nikkei index fell by more than 900 points. Analysts at Mizuho note certain similarities with the strong

Kuvat Raharjo 00:32 2025-08-12 UTC+2

What Could Hinder the Euro?

The stars seem to have aligned in favor of the euro. However, EUR/USD is in no rush to break above the upper boundary of the short-term consolidation range at 1.155–1.170

Marek Petkovich 00:32 2025-08-12 UTC+2

USD/JPY. Analysis and Forecast

The Japanese yen is holding near the upper boundary of last week's range, close to the key 148.00 level. This is due to uncertainty regarding the timing of the Bank

Irina Yanina 19:03 2025-08-11 UTC+2

Bitcoin survives bears' punch

Strong global risk appetite and demand from specialized exchange-traded funds and crypto treasuries have allowed Bitcoin to make a bid for record highs. BTC/USD quotes came close to the all-time

Marek Petkovich 15:39 2025-08-11 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.