The stronger U.S. Dollar is helping to put pressure on U.S.
equity markets overnight. Concerns about Greek financial problems are
pressuring the Euro, leading to a decline in demand for higher risk assets. Traders
appear to be lightening up their long equity positions ahead of todayâ€™s opening
despite the possibility of stronger than expected corporate earnings reports.
Yesterday, Fed Chairman Bernanke ignited a rally in the
equity markets with his dovish assessment of the economic recovery and outlook
for interest rates. Like it he did several times before, Bernanke basically
gave equity traders the green light to continue to buy stocks. This is old
news, however, as traders will now have to turn their focus on the reigniting
of fiscal problems in Greece.
Rather than try to sort out the details, investors may choose to take the easy
route and lighten up their long positions.
June Treasury Bonds are trading better this morning, buoyed
by weaker equity markets. The overnight rally in the T-bonds appears to be a
safety play as nervous traders seek to park funds in lower yielding assets. The
charts indicate that 115â€™29 is going to act as a pivot. Holding this price
could help trigger a short-term rally. Falling back below this price could
trigger a break to 115â€™14.
June Gold is trading a little weaker overnight mostly
because of the stronger Dollar. Losses may be limited if the Greek sovereign
debt situation begins to escalate. Traders may begin to support the gold market
if it looks like the existence of the Euro will be threatened. Gold traders may
seek protection in hard assets rather than paper currencies.
The falling Euro is putting pressure on June Crude Oil.
Yesterday, crude oil rose because of the weaker Dollar and a report that
inventories had unexpectedly fallen. Technically, this market may be forming a
secondary lower top which could mean the start of a short-term sell-off.
Last night China
reported that its Gross Domestic Product grew 11.9 percent from a year ago.
This was slightly better than the median guesses of 11.7 percent.The news, that Chinaâ€™s economy accelerated more
than expected in the first quarter, raised concerns that it may be overheating,
prompting more talk of a possible interest rate like. Traders are also
increasing speculation that China
may revalue its currency as soon as next week. If this takes place, look for
the Japanese Yen to strengthen and the U.S. Dollar to weaken.
To recap Wednesdayâ€™s trading activity, the Dollar lost
ground across the board after Fed Chairman Ben Bernankeâ€™s dovish testimony.
Testifying before the Joint Economic Committee, Bernanke reiterated the Fedâ€™s
stance that interest rates would remain low for an â€śextended periodâ€ť. He also
said â€śthe income data suggest that growth in private final demand will be
sufficient to promote a moderate economic recovery in coming quarterâ€ť. Finally,
he added that â€śsignificant restraints on the pace of the recovery remain
including weakness in both residential and nonresidential construction and the
poor fiscal condition of many state and local governments.â€ť In summary,
Bernanke weakened the Dollar by stating that the recovery will continue to be
modest while indicating the Fed has no intention of changing its language regarding
interest rates in its FOMC statements.
The June Euro is selling off sharply overnight. Market
participants are feeling jittery again because of concerns over Greece.
Investors are worried that the IMF/EU $61 billion financial aid plan will not
be enough to help the Greek economy and restore confidence in the Euro. At this
time, the Euro is facing serious credibility issues.
High premiums demanded by investors on Greek bonds rose 400
basis points above the German Bund for the first time since the rescue plan was
announced on April 11th. This is the clearest sign that investors are becoming
worried again. In addition, after three tries, the Euro has been unable to take
out the high reached Sunday night at 1.3691. Hedge funds continue to be short
and appear to be adding to their positions on each rally.
At this time, the course of the Euro remains weak. Over the
next week, several European Union nations will be meeting to approve their
contributions to the EU bailout plan. This voting process could be another
source of turmoil for the Euro. Not only will these nations have to put up the
money to back Greece, but
they may have to begin discussions about the possibility of similar problems
spreading to Portugal.
Now that traders have had almost a week to digest the EU
rescue package, a consensus is building which believes that this plan was
nothing more than a short-term fix and that long-term problems still exist.
Some sources say the key to a long-term solution to the sovereign debt problems
in the EU sits firmly on Germany.
Pressure is mounting on Germany to loosen up a bit and make it easier for
struggling nations to get the aid they need to survive while simultaneously
developing a plan to address financial aid issues which may arise in the
The June British Pound traded higher early in the trading
session after a report showed the opposition Conservative Partyâ€™s lead over the
Labor Party widened, easing concerns that the May 6th election will produce a
hung parliament. Traders had been pressuring the British Pound lately because
of concerns that a hung parliament would result in a government too weak to
tackle the U.K.â€™s
huge budget deficit.
Traders are also beginning to doubt the viability of the
current rally. Speculation is building that bullish traders will begin to
liquidate their long positions ahead of the election. Technically, the charts
indicate this market may accelerate to the downside if uptrending Gann angle
support at 1.5397 is violated today. The most likely downside target is 1.5160
on April 20th.
News that Chinaâ€™s
GDP was up slightly more than expected during the first quarter is helping to underpin
the June Japanese Yen. Additional support is being provided by traders leaving
the higher risk U.S.
equity markets. Technically, the charts indicate that upside momentum could
take this market to 1.0853 over the near-term. Traders should also note that
the general consensus suggests that the Japanese Yen is likely to gain when China
decides to revalue its currency.
A drop in demand for higher yielding assets is helping to pressure
the June Canadian Dollar overnight. The short-term picture indicates the
possibility of a profit-taking break. Traders may also be lightening up
positions ahead of next weekâ€™s Bank of Canada meeting on April 20th.
For over a year, Bank of Canada Governor Mark Carney has
pledged to keep interest rates at a record low of 0.25% through June. Canadian
financial markets are indicating, however, that rates may rise as early as June
1. This helped rally the June Canadian Dollar above parity recently.The bigger picture suggests the Canadian
Dollar is likely to continue to rise because of the stronger-than-expected
economic recovery and expectations for interest rate increases.
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 23 July 2018 A 14:00 US- Existing Homes Sales Tue 24 July 2018 AFlash PMIs Wed 25 July 2018 A 08:00 DE- IFO Survey A 14:00 US- New Homes Sales A 14:30 US- EIA Crude Thu 26 July 2018 AA 11:45 EZ- European Central Bank Decision A 12:30 US- Weekly Jobless A 12:30 US- Durable Goods Fri 27 July 2018 AA 12:30 US- GDP A 14:00 US- Final 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.