Forex Market
Asian Currencies Technicals
AUD/USD: $1.0290 Support Seen As Pivotal. The close back below the 200-DMA to end last week doesn’t bode well for the current move higher but we continue to look for a close below the $1.0290 support as confirmation of a false break higher last week.
Americas FX Daily
An inconclusive euro area leaders summit What happened overnight – EU leaders summit buys time on ESM bank recapitalization – Buy 3m GBPCHF call spreads and sell NZD vs. AUD & GBP basket
FX Market Analysis
EUR: Opened early Europe at $1.3068, Dollar demand into the Tokyo fix weighed on the pair in Asian trade, the rate slipped to $1.3058 and a re-test of yesterday’s spike low.
European FX Daily
– EU summit signaled support for Greece, but gave little clarification on ESM’s direct bank recap – EURUSD held above 1.30, Asian currencies fell – We recommend buying 3m GBPCHF call spreads, and selling NZD against an equally weighted basket of AUD and GBP
Technical Analysis
EUR/USD & EURJPY slightly lower, backing off their respective trend lines. Especially the EURJPY move looks encouraging and even more so if ending today in negative territory,
FX Market Technical Research
EUR/USD: Focus Remains On May 1 Resistance Line. The pair posted a dark candle yesterday, with the possibility of becoming a dark cloud cover pattern, depending on confirmation today.
GBP/USD Analysis
Closed in NY Thursday at session lows of $1.6044, the rate having slipped in tandem with euro-dollar on the premature release of Google earnings that missed targets.
EUR/USD Analysis
Closed in NY Thursday at $1.3065 after earlier printing highs of $1.3128. Euro slipped on the premature release of Google earnings, aided by headlines that the Greek PM is asking the EU to release the full E31.5bn tranche of aid as soon as possible.
USD/JPY Analysis
Market sentiment turned in the American afternoon yesterday and as traders preferred the safe-haven plays, dollar-yen consolidated gains and closed around Y79.25.
Asian Currencies Technicals
AUD/USD: Dipping Back Towards 200-DMA. Following the break to fresh three-week highs, AUD/USD is dipping back towards initial support noted at the 200-DMA although a close below the $1.0290 support is needed to confirm a false break above the 200-DMA.
FX Market Analysis
EUR: Opened early Europe at $1.3105, Euro-dollar had a slow grind throughout Asia and slipped on cross sales ahead of the Tokyo fix to $1.3105, rate extended losses on hot money supply and flushed light stops through $1.3100 to print lows of $1.3088.
European FX Daily
– China’s 3Q GDP accelerated from Q2 and September data surprised positively – Turkey likely to ease monetary policy – Philly Fed in focus in the US – We recommend selling INRTWD