Latest Forex Research
AUD/USD Analysis
Aussie got a boost Thursday from the HSBC China flash PMI reading and managed a high of $0.9274 during the Asian session before retracing back during the US session overnight to a low of $0.9214.
USDCAD – wave-2 pullback targets 1.0907/0896; then wave-3 of (3) higher
Prices have cleared the downtrend highlighted in Tuesday Morning Techs and supports the idea the bullish falling wedge is complete.
GBP/USD Analysis
The pair closed in NY Thursday at $1.6868 after rate reversed away from earlier highs of $1.6918 to a low of $1.6851, though pullback said to have met demand in the move lower,
EUR/USD Analysis
The pair opened at $1.3656 this morning in Asia, following an overnight range of $1.3645 to $1.3674 in the US. Euro-dollar marked an initial session high of $1.3660 soon after the open and
USD/JPY Analysis
The pair opened at Y101.73 this morning after a Y101.54 to Y101.82 range last night in the US. It started out with small gains, pushing through the overnight high and
Asian Currencies Technicals
AUD/USD continues to hover precariously above initial support with the 200-DMA noted below. Bears remain firmly focused on a break lower that initially targets the 200-DMA and then the 100-DMA.
Daily FX Wrap and Strategy
The NZD/USD sits at a similar level this morning, around0.8560.The NZD/AUD came under initial heavy selling pressureafter the release of a stronger than expected HSBC ChinaPMI yesterday afternoon.
Bank of Tokyo-Mitsubishi UFJ: EUR/USD Under Modest Pressure S/T
EUR/USD – bearish bias – (1.3500-1.3800).
US: Building Permits Help Boost LEI in April
The Leading Economic Index rose 0.4 percent in April, led by strong gains from the interest rate spread and building permits, while both labor market components caused a slight drag.
US: Existing Home Sales Rebound in April
Following three consecutive months of declines, existing home sales rose 1.3 percent in April to a 4.65 millionunit rate. Inventories reached their highest level since August 2012. Condo sales jumped 7.3 percent.
Credit Agricole: Stay GBP/USD Long, Targeting 1.70
The GBP has been supported, mainly on the back of better than expected retail sales data. The BoE minutes did not surprise in terms of the voting outcome.
Credit Agricole: FX View
We advise against selling the EUR in the very short-term. This is due to the heightened risk of the ECB disappointing elevated market expectations, especially when it comes to cutting the deposit rate to negative.