Easy Forex Daily Forex Report 05-09-2012
September 5, 2012 11:55 amVideo
Latest News
- ECB threw a lifeline to the euro April 11, 2024
- Technical Analysis – ETHUSD finds support at 50-day SMA April 11, 2024
- Trading Signals for GOLD (XAU/USD) for April 11-15, 2024: buy above $2,345 (6/8 Murray – symmetrical triangle) April 11, 2024
- EUR/USD: trading scenarios on April 11, 2024 April 11, 2024
- Analysis and trading tips for USD/JPY on April 11 (US session) April 11, 2024
- Analysis and trading tips for GBP/USD on April 11 (US session) April 11, 2024
- Analysis and trading tips for EUR/USD on April 11 (US session) April 11, 2024
- Technical Analysis – USDCAD surges to new almost 5-month high April 11, 2024
- Technical Analysis – EURGBP’s double bottom still waits for confirmation April 11, 2024
- Technical Analysis – US 30 index slides below 50-day SMA April 11, 2024
- Video market update for April 11, 2024 April 11, 2024
- EUR/USD. April 11th. Fed minutes: inflation concerns persist April 11, 2024
- GBP/USD. April 11th. The US inflation report shocked the bulls April 11, 2024
- Technical Analysis – USDCHF unlocks 6-month high April 11, 2024
- Overview of the GBP/USD pair on April 11, 2024 April 11, 2024
- Overview of the EUR/USD pair. April 11th. The market couldn’t hold up after the inflation report April 11, 2024
- Analysis and trading tips for USD/JPY on April 11 April 11, 2024
- What’s behind the US economy’s resilience? – Special Report April 11, 2024
- Technical Analysis – AUDUSD plummets in the US CPI aftermath April 11, 2024
- Technical Analysis – WTI oil pauses rally but remains supported April 11, 2024
Pressure mounting for action from the ECB Thursday
U.S. Dollar Trading (USD) US stocks
were weak yesterday after August ISM Services PMI fell to 49.6 vs. 50.0
forecast. Most of the damage was done however with the USD gaining against most
pairs and has so far held onto those gains. Focus has switched from the US FED
to the ECB Meeting on Thursday with talk of an ECB bond purchase program to be announced. Looking ahead, Q2 Productivity
forecast at 1.8% vs. 1.6% previously.
The Euro (EUR) the EUR/USD fell
from the lofty 1.2600 heights overnight as Moody’s downgraded the outlook for
the European Union. Also hurting was a German article stating the ESM was
illegal. This is ahead of the ECB meeting on Thursday where expectations are
mounting for a big announcement. Caution should be employed given last month’s
disappointment that led to a 300 pip fall for the EUR/USD post ECB meeting. The Sterling (GBP) the
weakness of the Euro spread to the GBP and we saw a pullback from 1.5900 to
1.5850. Helping support was the August PMI services which jumped to 53.7 vs.
51.0 previously. This combined with a stellar manufacturing survey on Monday
have helped improve the outlook and sentiment toward the Pound. Looking ahead, July
Retail Sales forecast at -1.5% vs. -1.2% y/y.
The Japanese Yen (JPY) the USD/JPY rallied
on the back of USD strength but the weak data is helping QE3 advocates and
could hurt the Dollar if it continues. The NonFarm Payrolls will be closely
watched on Friday but also the EUR/JPY will be in play over the next two days
and could be important for overall Yen strength. Australian Dollar (AUD) the
market continued to sell into any AUD/USD strength with a post RBA rally
yesterday leading to a heavy sell off down to 1.0200. The RBA noted some caution
about China and recent weak data but also that the Australian economy was
expected to grow and that inflation was forecast at the desired level. Also
they noted they are waiting to see the effects of the recent rate cuts on the
economy before considering further cuts. UPDATE Australian Q2 GDP at 0.6% vs. 0.7% forecast
Q/Q.
Oil & Gold (XAU) Gold remained in a
tight range at recent highs with traders buying on ECB bond buying speculation
but are not yet strong enough to break $1700. OIL/USD fell back with risk
off trade down to $95 a barrel supports.
Pairs to watch
EUR/USD Range trading into ECB? 1.2500-1.2600
AUD/USD new downtrend starting?
TECHNICAL COMMENTARY
Currency
Sup 2
Sup 1
Spot
Res 1
Res 2
EUR/USD
1.2493
1.2515
1.2540
1.2608
1.2630
USD/JPY
77.90
78.16
78.40
78.79
79.14
GBP/USD
1.5754
1.5795
1.5865
1.5899
1.5933
AUD/USD
1.0170
1.0200
1.0215
1.0355
1.0399
XAU/USD
1650.00
1666
1692
1700
1711
OIL/USD
94.50
95.00
95.40
97.00
98.00
By Anthony Darvall (TonyD)
Forex trading involves substantial risk of loss, and may not be suitable for everyone.
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