Forex Market
FX Market Technical Research
EUR/USD: Key Resistance Levels Just Above. The pair is consolidating below Friday’s highs, the 200-DMA and the falling daily trend line from late Mar highs after getting a little ahead of itself and closing above the 21 day upper Bollinger band ($1.2741) to end the week.
GBP/USD Analysis
Closed in NY Friday at $1.6010, the rate having been pressured to a high in this session of $1.6034 as the dollar was sold across the board following the release of weaker than forecast US NFP data (increasing speculation that this week’s FOMC may favour QE3).
EUR/USD Analysis
Closed in NY Friday at $1.2816, off session highs of $1.2818, seen as the dollar was sold off across the board following the release of weaker than expected US NFP data and which is seen placing increased speculation the FOMC may introduce QE3 at their meeting this week (announcement Thursday).
Asia Today: Has China got anything left? Latest data uninspiring
China released the initial tranche of its August data at the weekend and the rather non-descript results led to a slightly weaker tone for the AUD at the start of trading today.
Asian Currencies Technicals
AUD/USD: Focus shifts back to Aug monthly highs. Friday’s sharp move higher paused right on the 21 day MA but the move through layers of resistance has seen focus now shift back to retests of the $1.0540-1.0640 region.
US payrolls post lacklustre gain
The modest 96,000 increase in US non-farm payrolls in August only increases theprobability that the Fed will launch QE3 next week and it isn’t going to help President Obama’s re-election chances either.
Market says QE3 horse not dead yet, sells USD
The US employment report was distinctly uninspiring despite the drop in the unemployment rate and the market continues to plow full steam ahead with bets on the imminent arrival of QE.
FX Daily Strategist: US
– Draghi delivers, EURUSD to continue its march towards 1.2800 It is clear from the market reaction following the ECB meeting yesterday that the outcome has presently surprised, even though . Stocks are continuing to trade higher (financials still outperforming), Spanish 10Y bonds have continued to rally (30bps following from 40bps yesterday).
FX Market Analysis
GBP: Opened early Europe at $1.5935, stg0.7929, GBP closed in NY at $1.5935 after correcting back from NY session highs of $1.5943.
AUDUSD not co-operating. What now?
AUDUSD could afford some consolidation after the recent run to below 1.0200, but the huge consolidation is giving bears fits. Let’s have a look at the next technical resistance levels.
FX Techs
At a glance: Cling together, swing together The European sovereign debt crisis opened a new chapter yesterday with the ECB’s decision to launch an unlimited bond buying program.
Technical Analysis
Risk appetite lift, AUD short covering, stocks up… EUR/USD A new top was printed… EUR/JPY Final leg higher underway… AUD/USD Bullish key day reversal… EUR/SEK Not the expected outcome…