Forex Market
Behavioral Finance: Daily Forex Outlook: Market focus meanders back to the eurozone
EUR USD (1.3320) The eurozone finance ministers meeting slated to discuss the fate of pan-European rescue vehicles starts on Friday.With the impact of Bernanke’s recent dovish statements now welldigested, it is not surprising that the news focus is shifting from the USeconomic data to the eurozone’s political economy.
Technical Analysis – FX Daily Majors
Today’s highlights: AUDUSD: Spotlight on six month up trend line, 1.0325 (setting back from Q1 topping trend barrier). A close below this key support risks April move to 1.0145/15 target. NZDUSD: Poised at minor chart prop at .8143 (back from ahead of .8282 chart resistance) with risk still lower back our .8050/7996 target (and lower […]
FX Techs: London Open
At a glance: Signs of change The weak market behavior observed on Tuesday intensified yesterday when risk markets broke a couple of trend lines and neckline supports across the board. This is still nothing decisive yet on big scale, but could be interpreted as the early tremors of a bigger setback.
GBP/USD Analysis
Closed in NY at $1.5890, off extended pullback lows of $1.5842, as well as finishing the session well clear of its 200-dma at $1.5851 after probing below. Rate marked lows into early Asia at $1.5885 before stepping its way higher through the balance of the session, the rate edging to an eventual session high of […]
FX Market Technical Research
EUR/USD no change – the market will shortly encounter the top of the 7 month channel at 1.3449, this together with the February high at 1.3487 should provoke failure. However a break below 1.3263 (near term uptrend) is needed to alleviate immediate upside pressure.
EUR/USD Analysis
Closed in NY at $1.3323 after rate had recovered from session lows of $1.3277 to $1.3330. Rate edged its way back to retest that late NY recovery high but move met headwind supply linked to EUR/JPY sales which restricted the recovery move to $1.33328.
USD/JPY Analysis
Opened at Y82.90 in Asia and after a small blip up to Y82.97 fell back sharply on cross sales into the fixing amid thin year-end trading. USD tumbled, the move initially on exporter sales before cross flows also clicked in sending the pair to Y82.54, later recovering to Y82.71.
AUD selling still featured in today’s Asian session
The AUD remained the market mover during the Asian session with steady selling in the AUDJPY cross (probably linked to JPY repatriation flows into financial year-end) sending the AUDUSD below overnight lows, but only marginally so. Profit-taking at lunchtime has since led to consolidation but we still remained below the 1.04 mark.
AUD/USD Analysis
Opened in Asia at $1.0389 and after an early rise to $1.0405 was pushed lower on cross sales and EUR/AUD strength, led by AUD/JPY. Traders are getting nervous of some very large long positions built on the back of expected Toshin issuance and the cross fell back sharply from early highs of Y86.27, tripping stops […]
GBP Analysis
Cable closed in NY at $1.5957, off pullback lows of $1.5945 which were seen after rate had pulled back from extended highs of $1.6002. Rate marked lows at $1.5947 into early Asian trade before stepping its way to an eventual high of $1.5964. Rate drifted off highs but remained buoyed above $1.5950 ahead of the […]
EUR Analysis
EUR/USD closed in NY at $1.3312, just off its pullback low of $1.3311 after rate had been pressed back from earlier intraday highs of $1.33857. Rate picked up fresh demand interest into Asia, the rate opening the main session around $1.3313 and edged higher, the move aided by initial EUR/JPY demand, with EUR/AUD buys taking […]
Behavioral Finance: Daily Forex Outlook: Doves will likely tint the monetary policy
EUR USD (1.3330) Ben Bernanke’s latest comment that ‘no option is off the table’ is being interpreted by many as positive for the prospects of QE3. His reaction to the implications of higher oil prices suggest that he judges the impact as not too inflationary or growthhindering barring, of course, unpredictable shocks.