Forex Market
EUR Analysis
Opened early Europe at $1.2640, EUR/USD closed in NY at $1.2628, just off late session highs of $1.2635 after rate was driven higher on reports that G20 were preparing coordinated action to provide liquidity if needed after the Greek election.
GBP/USD Analysis
Closed in NY at $1.5552, off late recovery highs of $1.5564 as rate took direction from the EUR/USD moves, with risk gaining a general boost on the back of reports suggesting G20 were preparing for coordinated action to provide liquidity to markets if needed after the Greek election on Sunday.
EUR/USD Analysis
Closed in NY at $1.2628, just off late session rally highs of $1.2635 after rate was driven higher on reports that G20 were preparing coordinated action to provide liquidity if needed after the Greek election, with talk that pro-bailout New Democracy were seen ahead in the polls.
AUD/USD Analysis
AUD/USD opened the Asian session at around $1.0025 and has been seen in a narrow range between $0.9994 and $1.0030 so far this morning. Trading has been on a subdued level as Asian markets tread water ahead of this weekend’s Greek elections.
USD/JPY Analysis
USD/JPY is sitting close to session lows at Y79.02 in late Tokyo trade, as the pair fell sharply in the wake of the BOJ decision to leave policy unchanged.
JPY Analysis
Opened at Y79.26/99.66 after Y79.22/47 and Y99.50/00 overnight ranges, USD held steady above the overnight low amid quiet dealings, remaining so until benign US data provided a brief blip lower in both the USD pair and cross, dips seen to Y79.156 and Y99.467 respectively as stops were tipped in both.
EUR Analysis
Opened at $1.2573 after $1.2543/89 overnight range, EUR was underpinned but in a narrow range as Asian and option related interest contained both sides of the market at the overnight extremes.
Technical Analysis: Short Cycle Report: Oh dear Gold
Gold sports a potentially bearish wave structure that could see the crucial USD1,522 support level broken. The 10-year Bund yield has strong resistance at 1.64%, the USD is marking time before another leg higher and stock markets are on the cusp of another wave down.
GBP Analysis
Opened early Europe at $1.5528, stg0.8101, GBP closed in NY at $1.5511 after rate was pressed to intraday lows of $1.5504 as EUR/GBP extended its recovery to stg0.8107 from Wednesday’s pullback lows of stg0.8012.
JPY Analysis
Opened in early Europe around Y79.43 and Y99.92, USD/JPY was trading modestly lower during Asian trade, although off the lows seen earlier in the session.
EUR Analysis
Opened early Europe at $1.2580, EUR/USD closed in NY at $1.2565, off late extended recovery highs of $1.2611, with rate already recovering from a pullback low of $1.2552 before early demand in Asia lifted the rate to $1.2578.
Behavioral Finance: Daily Forex Outlook: EU policymaking at a crossroads
EUR USD (1.2575) The auction that saw Italy paying dearly for one-year borrowing reflects investors’ fears that the queue for bailouts and rescues is about to get longer.