Forex Market
FX Market Technical Research
EUR/USD: Signs of Recovery in Daily Stochastic Study. The EUR recovers the 5-DMA, which turns initial support at $1.2260, amid some early signs of a potential recovery in the daily stochastic study.
GBP/USD Analysis
Closed in NY at $1.5650 having recovered from initial Fed Bernanke react lows of $1.5555, seen as the Fed Chairman made no reference to QE3.
EUR/USD Analysis
Closed in NY at $1.2290 after recovering from its Fed Bernanke react lows of $1.2189 seen as he failed to give any hints toward further stimulus, leaving market to wait for the next FOMC meeting Aug 1 and Bernanke’s Jackson Hole address for clues.
Asia today: Asia stays calm after the post-Bernanke volatility
There was relative calm in the currency markets during the Asian session following the volatile gyrations seen overnight post-Bernanke.
Asian Currencies Technicals
AUD/USD: Very bullish NY close. The pair ended the overnight session on a bullish note and just below the July 5 highs with stops noted above.
GBP Analysis
Opened early Europe at $1.5662, stg0.7848, GBP closed in NY at $1.5632 after rate bounced from a low of $1.5518 to $1.5655, the move up boosted by the release of weak US retail sales with market aware that the Fed’s future policy is data dependent.
JPY Analysis
Opened in early Europe at Y78.92 and Y96.95, opened in Asia at Y78.80 and traded sideways with a quiet start seen across the board. The pair later spiked to Y78.99 highs mid-session, following renewed jawboning from Japanese officials.
EUR Analysis
Opened early Europe at $1.2293, EUR/USD closed in NY at $1.2270 after recovering from a session low of $1.2175, the move up boosted by the release of weak US retail sales, to highs of $1.2290.
Behavioral Finance: Daily Forex Outlook: Burden shared between the present and the future
EUR USD (1.2290) The USD-index is pursuing its retreat from last week’s year-high. The correction resumed yesterday after the publication of disappointing US retail sales data.
Technical Analysis
No big changes from yesterday… USD sellers respond to intraday rallies so the correctional theme may linger for some time yet… Best using this opportunity seems to be the pound and the aussie which holds tests of 1.5723 & 1.0330 (1.0475) possible…
GBP/USD Analysis
Closed in NY at $1.5632 after rate bounced from a low of $1.5518 to $1.5655, the move up boosted by the release of weak US retail sales with market aware that the Fed’s future policy is data dependent.
EUR/USD Analysis
Closed in NY at $1.2270 after recovering from a session low of $1.2175, the move up boosted by the release of weak US retail sales, to highs of $1.2290.