Tag Archives: AUD/USD
Daily FX Technical Strategy: Buy the rumour sell the fact
The release of US NFP last Fri triggered a wave of optimism and risk short covering. Gold was the first market to respond but yesterday it was sold aggressively and most of the gains extinguished. Concurrent events suggest a classic buy the rumour sell the fact pattern around hopes of a fresh round of US […]
FX Market Technical Research
EUR/USD has now hit our upside target at 1.2625, the January low. This has stalled the currency pair. A minor retracement back towards the 1.2500/1.2450 area should now be seen before the current retracement higher continues.
AUD/USD Analysis
AUD/USD managed to make a show back above parity during Thursday’s trade, the recovery boosted by the China rate cut as well as market positioning for a hint toward QE3 by the Fed’s Bernanke in hish NY morning testimony.
Technical Analysis: Short Cycle Report: The trend is your friend
The bounce in “risk” is a natural part of the bear market cycle but the overall trend remains down for stocks and up for the US Dollar. EUR-USD has resistance between 1.2589 and 1.2623 but a bounce as high as 1.2824 cannot be ruled out. The S&P 500 has resistance between 1334 and 1340. Bond […]
Daily FX Technical Strategy: Short covering continues
A risk revival gathered pace yesterday as short covering continued across asset classes. Commodity currencies rallied on heavy volume and a completed Double Bottom in NZD/USD implies further marginal upside this week. USD/JPY is in the spotlight today as once again it attempts to close above its 21 day average, for the first time since […]
AUD/USD Analysis
Closed in NY at $0.9926, with rate correcting back from session highs of $0.9933 after the AUD had seen decent inflows through Wednesday, initially on release of strong GDP data and then via a generally boosted risk-on tone.
Behavioral Finance: Daily Forex Outlook: Only ECB can elevate the short-term sentiment
EUR USD (1.2515) With the Spanish government explicitly admitting that they will need help from European institutions to recapitalise the country’s banks, the eurozone crisis has yet again attained a new summit. The markets now expect an urgent short term solution to this development.
AUD/USD Analysis
Closed in NY at $0.9740 and initially dipped to mark early local lows at $0.9738 before edging higher. Rate got an early lift as market reacted to a China press article calling for rate cuts in China, the demand taking out stops through $0.9765 before meeting stronger resistance at $0.9785.
AUD/USD Analysis
Closed in NY at $0.9695, after rate had seen initial NFP react lows of $0.9581 before spiking back to $0.9723. Rate got an early lift to $0.9707 into local trade, the move seen in tandem with EUR/USD, before turning lower.
AUD/USD Analysis
Release of weaker than forecast China PMI data (50.4 vs consensus 52.0 and Apr 53.8) provided the early impetus to take AUD/USD through Thursday’s local low of $0.9673, breaking under the late November low of $0.9664 before basing at $0.9648.
Asia today: Manufacturing PMIs echo weak sentiment elsewhere
Asian PMI data for May echoed the weakness seen elsewhere and led to another (brief) risk-off push during the Asian morning. China’s official manufacturing PMI data caught some by surprise (only because it was released 30 seconds early!) but the trend direction was no real surprise. Falling to 50.4 from 53.3, the drop was greater […]
Behavioral Finance: Daily Forex Outlook: Austerity still has precedence
EUR USD (1.2375) High Spanish borrowing costs, diving stock markets and concerns about the banking industry again saw investors buying safe-haven assets yesterday. Perhaps that’s why EC’s proposal of a joint bank deposit guarantee scheme, a eurozone wide financial supervision body, and a direct recapitalisation of the banks by the ESM, resonated in the markets.