Late Session Buying Spree Sends S&P 500 to New High
equity markets finished higher after treading water most of the day in sideways-to-lower
trading action. Traders seemed to be waiting for a catalyst all day. Near the
close equity markets mounted a strong surge to finish on their highs.
Thursday night, news that Chinaâ€™s inflation rate was higher
than expected, fueled speculation of a rate hike which helped drive down demand
for higher yielding assets. The lack of follow-though to the downside, however
triggered a short-covering rally which helped to boost equity prices from their
early morning lows. The March E-mini S&P 500 broke through the January top
at 1148.00. This action kept this market on pace to reach the March 12th
objective of 1156.00.
June Treasury Bonds recovered from earlier losses to close
better. Earlier traders sold Treasuries in anticipation of a possible rate hike
The inability to break -through yesterdayâ€™s low at 115â€™27 triggered a
short-covering rally near the mid-session. Technically, this market picked up
strength after regaining a 50% line at 116â€™04.This price will dictate the direction of the market over the short-run.
Holding above it means the market is discounting the Chinese news. Falling
below it will indicate a further drop to 115â€™06. If the rally continues, then
look for a retracement to 116â€™30 to 117â€™06.
The weaker Dollar triggered a short-covering rally in April
Gold. Technically this market posted a minor closing price reversal bottom. Oversold
conditions also contributed to the turnaround. A follow-through rally on Friday
could trigger a retracement to $1123.10.
June Crude Oil finished unchanged after trading slightly
weaker throughout the day. A decline in demand for higher risk assets was
behind todayâ€™s early weakness as well as overbought conditions. Technically,
this market is beginning to weaken. Trend lines are being penetrated and
momentum is slowing. The charts indicate there is room to the downside, but the
weaker Dollar and firm Euro helped to limit losses. Another surge in equity
markets could trigger a retest of the recent high at 83.77.
The U.S. Dollar declined into the close after trading in a
tight range most of the day. A strong surge in the equity markets late in the
session confirmed investor demand for risky assets, thereby pressuring the
lower yielding Dollar.
At times on Thursday, traders were demanding lower yielding
currencies in response to an overnight report that showed Chinaâ€™s consumer-price index spiked
higher in February.Investors speculated
that its central bank would have to raise interest rates to curb economic
growth. The inflation report showed an acceleration from the year-earlier
month, to a greater-than-expected pace of 2.7%. The higher growth was tied to
greater-than-expected gains in fixed-asset investment, bank lending, and
The Dollar extended its earlier gains after economic reports
showed the trade deficit unexpectedly shrank and weekly initial claims for
jobless benefits fell. These gains were short-lived however, as investor demand
for higher-yielding assets picked up late in the trading session.
The March Japanese Yen finished unchanged after a choppy,
two-sided trading session. Earlier in the day, it rallied on speculation that China may have to hike interest rates to curb economic
growth but then broke when U.S.
equity markets weakened. Finally at the end of the day, the Dollar was able to
mount a comeback against the Japanese Yen as the stock market soared into the
The March Canadian Dollar rallied hard after early session
weakness to finish higher. The early session weakness was triggered when this
market failed to attract buyers after reaching its highest level since October
2009. Overbought conditions and less demand for higher risk assets also helped
to contribute to the early weakness. The strong rally late in the trading
session drove up demand for higher risk assets, thereby underpinning the
Canadian Dollar into the close.
The bigger picture still suggests that the stronger currency
is the Canadian Dollar. Higher oil prices and the prospect of rising Canadian
interest rates have helped increase the view that the Canadian Dollar could
test parity. Investors are beginning to believe that the Bank of Canada is
likely to hike interest rates before the Fed.
The March Euro closed higher in light trading. Todayâ€™s
action put this market in a position to challenge the recent top at 1.3735
while in the process, forming a new main bottom at 1.3528. Technically, this
currency is trading in a range. A support base is being built which suggests an
impending rally, but this market needs a catalyst to drive it through the
recent top. The easing of fiscal tensions in Greece is contributing the most to
the developing bullish tone. Traders seem to be waiting for some event to shake
up the record number of shorts in the market in order to trigger a
The Swiss National Bank voted on Thursday to leave interest
rates at historically low levels while reiterating its stance to intervene
decisively if necessary to protect the currency. It also raised its outlook for
2010 inflation from 0.50% to 0.70%. The rally in the Euro helped strengthen the
March Swiss Franc. Accelerating upside pressure could trigger a further rally
into a major 50% level at .9526.
The March British Pound closed higher after a Bank of
England report predicted that inflation would be 2.5% this time next year. This
projected increase was slightly better than the November guess of 2.4%. The
fact that this market was able to hold onto most of its overnight gains could
be a sign that the recent selling pressure has dried up. This could mean a
short-covering rally is imminent. Gains could be limited however because
aggressive shorts still feel that there is much more potential to the downside
because of the weak economy, political uncertainty and the BoEâ€™s dovish tone.
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."
Actionable trading levels delivered to YOUR charts in real-time.
Mon 10 Sep 2018 AA 08:30 GB- GDP, Trade, Output Tue 11 Sep 2018 AA 08:30 GB- Employment Decision A 09:00 DE- ZEW Survey Wed 12 Sep 2018 A 12:30 US- PPI A 14:30 US- EIA Crude A 18:00 US- Beige Book Thu 13 Sep 2018 A 1:30 AU- Employment AA 11:00 GB- Bank of England Decision AA 11:45 EZ- European Central Bank Decision A 12:30 US- Weekly Jobless AA 12:30 US- CPI Fri 14 Sep 2018 A 08:30 GB- GDP AA 12:30 US- Retail Sales A 13:15 US- Industrial Production AA 14:00 US- prelim University of Michigan
John M. Bland, MBA co-founding Partner, Global-View.com
Global-View Affiliate Program
We are starting an affiliate program to market some of our products.
Send me an email if you would be interested or if you know someone who would like to be an affiliate. Generous commissions payout for those accepted.
Put the word "affiliate" in the email subject line.
Veteran FX Trader, Max McKegg, forecasts all the Major currencies and the Australasians; providing Daily and Medium Term Trading forecasts to subscribers, who include large Banks the world over, as well as individual traders in more than 30 different countries.
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.