The Euro broke through its recent low at 1.3440, plunging
sharply lower after Fitchdowngraded Portugalâs
credit rating. Coupled with on-going concerns regarding efforts by Greece to obtain financial aid from either the
European Union or International Monetary Fund, this latest development could
worsen if additional cuts are applied to Spain,
Italy and Ireland.
Overnight Fitch announced it had downgraded Portugal one
level to AA- and warned further cuts would be forthcoming unless the country
takes care of its ailing finances. Additional pressure could be on the Euro if
the other credit rating agencies, the S&P Corp. and Moodyâs, reaffirm
Fitchâs assessment. Furthermore, traders are reacting as if this situation will
spread to other sovereign nations as the European Union continues to drag its
feet amidst the already dire Greek outlook.
After closing Tuesday off its low following the news that France and Germany
were leaning toward accepting a Greece
financial aid package from the IMF, the Euro weakened shortly before the Fitch
news on the notion that financial aid from an outside entity would appear to be
a weak signal from the European Union. This was almost a complete about face
from yesterdayâs late session rally which helped push up demand for higher
yielding assets and currencies.
According to the recent CFTCâs Commitment of Traders data,
short traders continue to control the direction of the Euro. Although efforts
have begun to curb excessive short speculation in the European single currency,
it looks as if bearish speculators are in control and have called the direction
of this currency precisely.
The Dollar is rising across the broad against all major
currencies as investors seek protection from the drop in higher yielding
assets. Fear could spread throughout the markets today if support for the Euro
continues to erode. Investors are showing their support for the Dollar by
selling off equities, gold and crude oil overnight. In addition, the Dollar
Index has soared to a new high for the year.
The GBP USD is trading lower, but has not reacted as badly
as the Euro despite renewed fears that the U.K. faces a similar downgrade and
warning from credit rating agencies. The British Pound also remains vulnerable
to the downside because of the weakening economy and the threat of a âhung
Parliamentâ based on poll survey results ahead of the upcoming election.
Overnight, the USD CHF reached a 50% level at 1.0703. This
completed a retracement of the recent break from 1.0897 to 1.0506. Upside
momentum could take this market to 1.0749. Talk is circulating that the Swiss
National Bank has been actively intervening to prevent its currency from rising
relative to the Euro. This is raising come concerns that the SNB will soon be
listed as a currency manipulator by the U.S. Treasury Department.
Expectations for impending volatility proved to be true for
the USD JPY as this market broke out to the upside through a long-term
downtrending Gann angle at 90.40. In addition, buying pressure helped this
market regain a key 50% level at 90.95 and change the trend to up on the daily
chart on a trade through the last swing top at 91.08. The next minimum upside
target is a .618 level at 91.62.Gains
could be limited if stocks break sharply and traders seek safety in the lower
yielding Japanese Yen.
The USD CAD is trading better and has regained an old bottom
at 1.0205. The current chart formation suggests impending volatility with a
bias to the upside. After confirming a closing price reversal bottom at 1.0060
earlier in the week, this market appears to be building upside momentum which
could send this market soaring to a major 50% level at 1.0369.
The AUD USD is trading lower but has not reacted nearly as
much to the downside as one would have expected following the developments in Europe. The current chart pattern suggests that this
market has room to break to the downside with .8914 a potential target over the
near-term. Investors seem to be taking a âwait and seeâ outlook ahead of the
opening of the U.S.
stock markets. A plunge in U.S.
equity markets in reaction to the weakness in the Euro could send investors
scurrying out of higher yielding currencies.
A similar situation to the one developing in the Aussie
Dollar is taking place in the NZD USD. Traders are shying away from
aggressively shorting this market ahead of the U.S. stock market opening and in
front of a minor retracement zone at .6992 and .6948. A shift in risk sentiment
back toward risk aversion could pressure the New Zealand Dollar.
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.