Forex Market

European FX Daily

– HSBC flash China PMI rose to three month high – Thai exports stronger than expected, trade balance back in surplus – Euro area flash PMIs are the key data for the day – FOMC unlikely to deliver fireworks

Technical Analysis

The euro gave a lot of it back again yesterday while the dollar gained ground… EURUSD under 1.3000/93 has reopened the low-1.28s (1.2805/04) again…

FX Market Technical Research

EUR/USD: Finds Support From 21-Day Moving Average. The pair moved below the former Sep 17 resistance line and bounced from support around the 21-DMA, now initial support at $1.2966.

GBP/USD Analysis

Risk aversion continued in the US afternoon and as stocks opened in negative territory the pair went on a stop hunt to post fresh 6 week lows of $1.5913, the rate later bounced to close at $1.5950.

EUR/USD Analysis

Closed in NY Tuesday at $1.2980, the rate recovered from a pullback low of $1.2952 where Asian soveriegn demand had been visible after earlier posting a high of $1.3041.

USD/JPY Analysis

Dollar-yen closed in NY Tuesday at Y79.85, the rate slipped off highs of Y79.94 after earlier posting a low of Y79.71. The cross tracked euro-dollar in the US afternoon to print lows of Y103.28 as risk aversion weighed heavily on markets.

Asian Currencies Technicals

AUD/USD: Below $1.0290 Shifts Focus Lower. Last week’s move above the 200-DMA has been reversed with the break and close back below the pivotal $1.0290 level confirming.

Americas FX Daily

USDJPY holds below 80 What happened overnight – Spanish GDP contracts 0.4%qoq in Q3 – Singapore inflation surprised to the upside – We expect an unchanged BoC, with a slightly less hawkish statement

FX Market Analysis

EUR: Opened early Europe at $1.3050, Euro-dollar opened on a bid tone in early Asia and lifted to $1.3076 after the Spanish election results indicated support for PM Rajoy’s austerity policies, some see this as hope the government may request a bailout.