Forex Market
GBP/USD Analysis
Closed in NY at $1.5895, off late rally highs of $1.5911. Rate edged back to post an overnight Asian high of $1.5905 in opening trade before drifting lower, the move down tracking EUR/USD though EUR/GBP extending its corrective pullback from its NY high at stg0.8269, seeing this rate move down from early Asian highs at […]
EUR/USD Analysis
Rate closed in NY Monday at $1.3140, just off NY afternoon recovery highs of $1.3148 seen after a stop driven move. Rate nudged up to mark Asia highs at $1.3145 in opening trade before rate turned lower, with talk emerging of decent sell interest building into the $1.3150 area.
Technical Analysis
Dollar rally paused – not reversed. EUR/USD 1.2974 kept safe – for now… EUR/JPY Respecting support… EUR/GBP Fresh low rejected… EUR/SEK Near-term correction printed? USD/SEK Small setback to a bullish case… EUR/NOK Minimum “wave-C” target met… NOK/SEK Correctional grind (higher)… NZD/USD Bear flag ready to go.
AUD/USD Analysis
Opened in Asia at $1.0355 recovering from NY lows of $1.0338, but failed to match the euro’s rally as EUR/AUD buying led the cross back up sharply from A$1.2572 to A$1.2691. This morning’s Far Eastern session has been relatively quiet after early highs of $1.0364.
RBA minutes show wait for inflation data before any rate cut
Today’s highlight for the Asian session was the release of the minutes of the April RBA meeting, where we gained further insight into the central bank latest ideas regarding the economy and interest rate policy.
USD/JPY Analysis
A somewhat languid session for the yen complex this morning after Japanese dip buyers surfaced around Y80.30 in NY yesterday to lead a small recovery into the close at Y80.41. Asian saw some Tokyo fixing demand lift the pair from early lows of Y80.33 to Y80.55, with bids now trailing lower from Y80.35 down to […]
EUR Analysis
Euro had recovered off a European hours push under $1.3000 that erased an option barrier strike while failing to build much downside momentum. Euro dithered above $1.3015 in early US dealing but with upbeat retail sales data bolstering risk, euro enjoyed modest lift to $1.3055 before stalling and steadying atop $1.3040, though amid light flows.
JPY Analysis
USD/JPY and EUR/JPY had flushed lower in European dealings, the dollar finding a base at Y80.45 and Y104.65 before both began a slow climb higher that stalled ahead of the US session.
Americas FX Daily – EURUSD dips back below 1.30
EURUSD dips back below 1.30 What happened overnight – China widens USDCNY trading band to +/- 1% from +/-0.5% previously – WSJ reports Moody’s might cuts ratings on 114 European institutions
Behavioral Finance: Daily Forex Outlook : Market continues to focus on peripheral assets
EUR USD (1.3020) Downbeat Chinese GDP data probably contributed to pushing the euro to the months low. But as Spanish borrowing costs increase to the levels that forced Greece, Ireland and Portugal to resort to bailouts, the investor focus is now meandering back to the eurozone.
GBP Analysis
Cable closed in NY at $1.5844, off traded lows at $1.5841. Rate nudged to an early high of $1.5862 in early Asia before turning lower, the rate dragged down by EUR/USD slippage though part of the downside pressure was diverted over to EUR/GBP which eased from an early high of stg0.82465 to stg0.8221.
JPY Analysis
A quiet session to open the week for the dollar-yen, opened around Y80.90 amid concerns over China’s band widening of the Yuanand and traded a quiet Y80.85-00 range with the real action seen in the crosses.