Latest Forex Research
Germany: Slightly weaker growth in sight
Ifo numbers came out in line with our expectations, a bit weaker than consensus. They point to ongoing but slightly slower growth driven by domestic demand.
Sweden: Business Tendency Survey better than it seems
Confidence in the total business sector fell by 2 points to 103.1 in May. The indicator peaked at 108.9 in January and has declined since then.
Daily Technical Report
EUR/USD is challenging again the strongsupport at 1.3643 (see also the 200 day movingaverage). A break of the resistance at 1.3734(19/05/2014 high) is needed to
FX Daily Majors
Today’s highlights: EURUSD spotlight remains firmly on its 200-day average at 1.3636/35, below which would add weight to thoughts of a larger top.
Positive $ index break. EUR/PLN fell out of bed
EUR/USD: With a still persisting hourly RSI divergence, the price outside the 55d ma Bollinger and with the still firm 1.3635 support we cannot but read the setup as supportive to the 1.3730 bounce suggested yesterday.
The Global Macro Pulse
The dollar is similarly mixed. EURUSD has drifted down to 1.3646 and USDJPY is up to 101.77, but AUDUSD has recovered early losses to trade at 0.9243.
UBS Morning Adviser
Leap-frogging the Australian Dollar FX reserve managers and sovereign wealth funds are adding renminbi to their portfolios,
FX Daily
German IFO and US new home sales will be the main data to watch. We look for a small rise in the German IFO, pointing to continued robust growth inGermany.
FI Eye-Opener: It’s all about politics, at least today
German Bund yield inched slightly lower to 1.36% on Thursday, as the weak French PMI’s reminded that the Euro area economy is not out of the woods yet.
Daily Market Technicals
EUR/USD continues look heavy with lower daily highs weighing, but support remains on approach to the 200-DMA. Bulls now look for a close back above the $1.3688 level to
EURUSD – wave-(c) of 2 indicates one more push to 1.3775
The correction of the initial wave-1 decline (1.3993-1.3648) still tracking higher to 1.3775/80. With RSI support having already given way, once this correction completes,
USDJPY – bull hammer threatens bearish break; watch 101.62/35 on close
There was a bullish hammer reversal yesterday below the flag/pivot breakdown level; a close above 101.62 today would confirm the reversal and