Forex Market
USD/JPY Analysis
Closed in NY at Y78.40 having bounced off earlier lows of Y78.30. The pair extended gains in early Asia ahead of the Tokyo fix to Y78.47, before a spike in the aussie on release of positive jobs data weighed to Y78.38.
GBP/USD Analysis
Closed in NY at $1.5902 having pulled back from a session high of $1.5934. Rate was squeezed to an extended low of $1.5892 as rate took direction from euro-dollar, which in turn reacted to the Aussie sell off following release of Australian jobs data.
EUR/USD Analysis
Closed in NY at $1.2600 after settling back from a recovery high of $1.2625, seen as rate reacted to source reports concerning today’s ECB announcement on its much anticipated bond buying programme.
Asian Currencies Technicals
AUD/USD: Fresh 6 week lows. Fresh 6 week lows for the AUD/USD with the 100 day ma taken out and chopping around the falling 21 day lower Bollinger band ($1.0192) expected to continue.
ECB unveils plans – squeezing Eur shorts again, even against CHF
The Euro squeezed higher as ECB officials communicated the ECB’s plans to buy peripheral debt. But is this as positive for the Euro as the market is trying to tell us at first blush?
FX Market Analysis
GBP: Opened early Europe at $1.5862, stg0.7903, GBP closed in NY at $1.5872 after rate had eased off session highs of $1.5910, seen after a stronger than expected early release of UK services PMI data (was due to be released this morning).
FX Technical Volume Strategy: Cable divergence points to a top
– Event risk later in the week is keeping trading subdued for the time being. – GBP/USD – OBV divergence suggests a top is forming and risks into next week are to the downside.
AUDJPY beating a hasty retreat
The Aussie continues to suffer a meltdown as fundamentals are catching up with it. AUDJPY may have another ways to go before it finds support.
FX Daily Strategist: Europe
– Favouring long EURUSD ahead of Thursday’s ECB meeting and Friday’s US employment report The rebound of the USD and pullback in the EUR is a reflection of investors remaining on the sidelines ahead of Thursday’s ECB meeting and Friday’s US payroll report in our view.
Technical Analysis
It seems that the euro is flipping back into a defensive position, at least against the dollar, yen & pound – but not so against the krona with TCW breaking higher ground and EURSEK marching into a 8.45-8.50 test…
FX Market Technical Research
EUR/USD: Approaching One-Year Resistance Line. Euro-dollar is approaching a resistance line from Aug 29 2011, which is valued at $1.2677 and declining 7 pips/day.
GBP/USD Analysis
Closed in NY at $1.5872 after rate had eased off session highs of $1.5910, seen after a stronger than expected early release of UK services PMI data (was due to be released this morning).