The U.S. Dollar closed out the month of January sharply
higher as aggressive buyers helped the Greenback surge to the upside following
Friday morningâ€™s better than expected U.S. GDP report. The report which blew
out forecasts encouraged traders to buy with both hands as investor sentiment
turned more optimistic toward a strong U.S. economic recovery.
Earlier in the week, the Dollar was bolstered by a more
upbeat statement by the Federal Reserve. Although the FOMC left interest rates
unchanged, it did change its outlook on the economy from â€śweak growthâ€ť to
â€śmoderate growthâ€ť.The markets responded
by driving up the Dollar in anticipation of higher interest rates and a much
better outlook for the economy going forward.
Most of the time this week, the Dollar showed strength as
investors became more optimistic about the U.S. economy, but demand for safety
because of concerns over sovereign debt issues in Greece and Portugal also contributed
greatly to the rally.These problems are
likely to linger over into next week and until a viable solution is reached.
The EUR USD finished the month sharply lower and in a
position to test 50% of last yearâ€™s July to November rally.The main range is 1.2329 to 1.5144 with retracement
levels at 1.3800 to 1.3483. The combination of an improving U.S. economy and concerns over sovereign debt
issues in Greece and Portugal
pressured the Euro. Look for this down trend to continue until this market
becomes oversold or until Greece
and the European Union reach a solution on how to shore up the Greek budget.
The GBP USD closed slightly lower for the month. The lack of
growth continues to plague the U.K.
economy.On Friday, the Pound finished
sharply lower following a robust U.S. GDP Report. The long-term chart indicates
that this market may be vulnerable to a correction back to 1.5271. Watch for an
acceleration to the down side to begin following a break down under 1.5706.
The USD JPY finished the week slightly better, but still
lost ground for the month. Renewed strength in the U.S. economy helped the Dollar rise
sharply over the Yen on Friday. For the month, this pair traded between two 50%
levels at 93.13 and 89.30.A breakout
over either one of these prices in February is likely to trigger a big
move.At times, the USD JPY showed
strength because of improvements in the U.S. economy.Other times, the Yen strengthened when
investor sentiment shifted toward safety. Something is going to have to give
soon.Either investors are going to sell
the Yen hard as the economic outlook for the U.S. improves, or the Yen will
rally sharply higher if traders turn more risk averse.
The USD CHF turned the main trend to up on the weekly chart,
following a breakout over 1.0507.In
addition, this market posted its second consecutive higher month and now
appears to be on pace for a rally to 1.0942.Not only was the strengthening Dollar underpinning the market, but the
weakening Euro versus the Swiss Franc also helped to trigger concerns that the
Swiss National Bank was getting ready to intervene.One of the main concerns for the SNB is its
appreciation versus the Euro.In this
case, the sovereign debt issues in Greece
have helped weaken the Euro enough to make the Swiss France look strong.
The monthly USD CAD charted formed a closing price reversal
bottom which indicates the possible start of a huge rally to the upside. This
type of pattern usually suggests the formation of a major bottom.In addition, following the formation of this
pattern the market rallies 50% of the last break over a 2 to 3 month
period.This projects a possible move to
1.1633 by April.The stronger U.S.
economy coupled with weaker crude oil and gold prices is not very supportive
for the Canadian Dollar.In January, the
Bank of Canada reiterated its stance against a stronger currency and vowed to
take whatever action it deemed necessary to prevent a strong currency from
derailing the economic recovery.
The AUD USD closed lower for the second consecutive month.A shift in fundamentals is starting to exert
a bearish influence on this market. During January, China showed several signs that it was
getting ready to tighten its monetary policy.This move is already pressuring demand for raw materials.A drop in demand from China will
weaken Australian exports and could trigger the start of a sizeable correction
back to .7706. On February 2nd, the Reserve Bank of Australia is expected to leave
interest rates unchanged after two consecutive increases. Depending on the tone
of the language in its official statement, the Aussie Dollar could be poised to
move sharply lower to the down side.
The New Zealand Dollar closed lower for the month and in a
position to drop further. A slow down in the New
Zealand economy at the same time the U.S. is beginning to strengthen
could put pressure on the Kiwi next month.The longer-term chart indicates plenty of room to the downside with
.6263 a potential target. With the U.S.
projected to raise interest rates later in the year and the Reserve Bank of New Zealand
committed to holding rates low until the middle of the year, a tightening of
the interest rate differential will favor the Dollar. Furthermore, less demand
from China is likely to hurt
the New Zealand
Forex Trading News
Daily Forex Market News Forex news reports can be found on the forex research
headlines page below. Here you will find real-time forex market news reports
provided by respected contributors of currency trading information. Daily forex
market news, weekly forex research and monthly forex news features can be found
Forex News Real-time forex market news reports and features providing
other currency trading information can be accessed by clicking on any of the
headlines below. At the top of the forex blog page you will find the latest
forex trading information. Scroll down the page if you are looking for less
recent currency trading information. Scroll to the bottom of fx blog headlines
and click on the link for past reports on forex. Currency world news reports
from previous years can be found on the left sidebar under "FX Archives."
Elevate Your Trading With The Amazing Trader!
The Amazing Trader includes:
Actionable trading levels delivered to YOUR charts in real-time.
looking for your first broker or do you need of a new one? There are
more critical things to consider than you might have thought.
We were trading long before there were online brokers. Global-View
has been directly involved with the industry since its infancy. We've
seen everything and are up-to-data with recent regulatory changes.
The Global-View Forex Forum is the hub for currency trading on the web. Founded in 1996, it was the original forex forum and is still the place where forex traders around the globe come 24/7 looking for currency trading ideas, breaking forex news, fx trading rumors, fx flows and more. This is where you can find a full suite of forex trading tools, including a complete fx database, forex chart points, live currency rates, and live fx charts. In addition, there is a forex brokers directory where you can compare forex brokers. There is also a forex brokers hotline where you can ask for help choosing a forex broker that meets your individual fx trading needs. Interact on the same venue to discuss forex trading.
The forex forum is where traders come to discuss the forex market. It is one of the few places where forex traders of all levels of experience, from novice to professionals, interact on the same venue to discuss forex trading. There is also the GVI Forex, which is a private subscription service where professional and experienced currency traders meet in a private forex forum. it is like a virtual forex trading room. This is open to forex traders of all levels of experience to view but only experienced currency tradingprofessionals can post.
Currency trading charts are updated daily using the forex trading ranges posted in the Global-View forex database. You will also find technical indicators on the fx trading charts, e.g. moving averages for currencies such as the EURUSD. This is another forex trading tool provided by Global-View.com.
The forex database can be used to access high, low, close daily forex ranges for key currency pairs, such as the EURUSD, USDJPY, USDCHF, GBPUSD, USDCAD, AUD, NZD and major crosses, including EURJPY, EURGBP, EURCHF, GBPJPY, GBPCHF and CHFJPY. Data for these currency trading pairs dating back to January 1, 1999 can be downloaded to an Excel spreadsheet.
Forex chart points are in a currency trading table that includes; latest fx tradinghigh-low-close range, Bollinger Bands, Fibonacci retracement levels, daily forex pivot points support and resistance levels, average daily forex range, MACD for the different currency trading pairs. You can look on the forex forum for updates when one of the fx trading tools is updated.
Global-View also offers a full fx trading chart gallery that includes fx pairs, such as the EURUSD, commodities, stocks and bonds. In a fx trading world where markets are integrated, the chart gallery is a valuable trading tool. Look for updates on the Forex Forum when the chart gallery is updated.
Global-View.com also offers a forex blog, where articles of interest for currency trading are posted throughout the day. The forex blog articles come from outside sources, including forex brokers research as well as from the professionals at Global-View.com. This forex blog includes the Daily Forex View, Market Chatter and technical forex blog updates. In additional to its real time forex forum, there are also Member Forums available for more in depth forex trading discussions.
WARNING: FOREIGN EXCHANGE TRADING AND INVESTMENT IN DERIVATIVES
CAN BE VERY SPECULATIVE AND MAY RESULT IN LOSSES AS WELL AS PROFITS. FOREIGN
EXCHANGE AND DERIVATIVES TRADING IS NOT SUITABLE FOR MANY MEMBERS OF THE
PUBLIC AND ONLY RISK CAPITAL SHOULD BE APPLIED. THE WEBSITE DOES NOT TAKE
INTO ACCOUNT SPECIAL INVESTMENT GOALS, THE FINANCIAL SITUATION OR SPECIFIC
REQUIREMENTS OF INDIVIDUAL USERS. YOU SHOULD CAREFULLY CONSIDER YOUR FINANCIAL
SITUATION AND CONSULT YOUR FINANCIAL ADVISORS AS TO THE SUITABILITY TO YOUR
SITUATION PRIOR TO MAKING ANY INVESTMENT OR ENTERING INTO ANY TRANSACTIONS.