Friday August 19, 2005 - 05:07:20 GMT
Share This Story
Tricom Futures and Foreign Exchange -
Forex: Ok, so I was wrong, but i'm sure I wasn't alone.
The US dollar was softer in Sydney morning trade against the euro and yen as traders locked in profits while expecting further gains ahead for the dollar. A solid August Philadelphia Federal Reserve Activity Index, standing at 17.5 index points from 9.6 in July and beating market forecasts of 14.0s, supported a rebound in the US dollar as traders refocused on stronger economic growth in the US.
With no economic data due out in Europe, or the US, we can expect a fairly subdued end to the week - A week where we saw the EUR/USD's short lived recovery end in an absolute drubbing overnight.
It now appears the EUR/USD will target 1.2100 on the downside, where we have small trendline support, and a 61.8% Fib level marking a retracement of previous upmove from 1.1875-1.2485.
As I said above, the overnight US data shows strong ecomonic growth, and while this persists, the market will elect to ignore the twin deficits.
Today’s Top Trades
· Sell EUR/USD around 1.2210-20, with stops under 1.2260
. Buy USD/CHF around 1.2680-70, with stops under 1.2630
For more ideas send me an email, firstname.lastname@example.org
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
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."