Forex Market
GBP/USD Analysis
Closed in NY at $1.5966, off NY rally highs of $1.5974 seen after markets reacted to dovish comments from Fed’s Bernanke. Rate touched an early high in Asia of $1.5972, as early direction was dictated by strong French name EUR/JPY demand, but move held off the NY high as well as the reported option barrier […]
EUR/USD Analysis
Closed in NY at $1.3360, off traded highs at $1.3368 seen after the markets reacted to Fed Bernanke’s dovish comments concerning US unemployment. Rate basically flatlined through Asia with trade contained within a relatively tight range of $1.3343/66.
FX Market Technical Research
EUR/USD has eroded interim resistance at the 1.3291/1.3325 region (9th February high), and we would allow for an extension of the rally towards the top of the 7 month channel at 1.3463. this together with the February high at 1.3487 should provoke failure. Initial support is 1.3291, 1.3192.
Bernanke puts a new sets of skids under the dollar, for now
Early in the Asian session RBA’s Debelle gave an additional prop to the AUD’s revival overnight by saying that the AUD is in the “right balance” relative to the (near record high) terms of trade while adding that Australia’s mortgage rates are about where the central bank wants them to be.
AUD/USD Analysis
Opened in Sydney around $1.0533 after a sharp rally off yesterday’s european lows of $1.0426 on Fed Bernanke’s comments, which sparked risk on sentiment amid QE3 fears and led S&P to levels not seen since 2008. Commodity markets pushed sharply higher on a wave of USD weakness and AUD bounced to $1.0546 before running out […]
USD/JPY Analysis
A quiet session in Asia this morning after the dollar was buffeted by a mixed US Treasury market yesterday, but the pair holding firm despite the dovish Bernanke comments, with sharp rises in yen crosses underpinning the dollar. USD/JPY opened in Asia at Y82.82 and after a brief low of Y82.80 headed higher on investor […]
Behavioral Finance: Daily Forex Outlook: Prudence vs. exit strategy
EUR USD (1.3205) Last week investors managed to push the euro to the highest point (fractionally) in the last three weeks. But the sentiment towards the euro remains ambiguous. With Spanish 10-year bond yields rising again, the Italian PM warning about renewed contagion, and some prominent opinion-makers seeing the German Chancellor’s reticence to increasing the […]
EUR Analysis
EUR/USD closed in NY Friday at $1.3267, the rate recovering off a late pullback low of $1.3255 after touching a session high of $1.3284. Rate opened Asia around $1.3270 with early trade contained by $1.3270/73 in opening trade before pushing up to $1.3285 as market reacted to press reports that Germany’s Merkel would allow a […]
European FX Daily – Chop ahead of the Ifo
– JPY underperforms, Asian equities mixed – A decline in the German IFO is likely to weigh on the euro – Further improvement in US activities likely supportive of USD rally
FX Market Technical Research
EUR/USD continues to probe the 1.3291/1.3325 region (9th February high), it remains fairly choppy but ideally we would like to see failure here. A sustained break below intraday support at 1.3140 and the 55 day ma at 1.3130 is needed to further alleviate upside pressure and initiate a slide back to the recent low at […]
GBP/USD Analysis
Closed in NY at $1.5869, after being rejected from $1.5888 (76.4% of the earlier pullback from intraday highs of $1.5909 to $1.5820) to $1.5857 before recovering into the close. This recovery extended in early Asia, the rate edging up from its opening level of $1.5871 to $1.5885 before faltering ahead of the NY recovery high.
EUR/USD Analysis
EUR/USD closed in NY Friday at $1.3267, the rate recovering off a late pullback low of $1.3255 after touching a session high of $1.3283. Corrective pullbacks off intraday highs (Europe Friday) of $1.3294 were contained by stronger demand placed lower down at $1.3220.