Forex News Blog
Back to The Headlines
Thursday July 6, 2006 - 09:32:31 GMT
Share This Story
ACM - www.ac-markets.com
ECB bound to leave rates on hold
By Marc Spaelti - ACM Senior Trader
Yesterdays News and Events:
The US Dollar moved up on Wednesday, fending off the risk of a medium-term fall that may simply be postponed. EURUSD lost 120 pips from its 1.2840 high on Tuesday, Cable dropped 1.5 cents to a 1.8330 low. USDJPY outperformed its European counterparts with a spike to 115.80. As mentioned yesterday, the Dollars rise was jump-started by the North Korean missile tests. Leaders in Pyongyang indicate that further tests will be carried out in the near future and risks that the situation will escalate further rather then calm down may keep the Dollar bid for now. Commodity and energy prices have also gone bid on the back of potential geopolitical risks in North-east Asia, Gold reached an intra-day high of $630, Brent Crude has crossed the $74 per barrel-mark, levels last seen in early May, the all-time high stands at $74.98. The 2nd reason for the strong dollar performance yesterday was a surprise increase in the June ADP employment report, showing Private Payrolls increasing by 368k, causing analysts to jack up their forecast for tomorrowâ€™s US Employment report. As the July BOJ meeting is moving closer, talk of a possible rate hike next week captures a lot of attention. BOJ Governor Fukui dropped some hawkish comments, saying that CPI should maintain its positive trend and that the economy is set to recover steadily. And Chief Cabinet Secretary Abe discounts the threat of the missile issue as he does not expect its fallout to harm the Japanese economy.
Todays Key Issues:
The Bank of England rate decision is due at 11amGMT. Once again we expect them to hold key rates steady at 4.5% The ECB will announce their decision at 11.45GMT, it will be followed by a press conference at 12.30GMT. No rate hike is expected this time around, analysts will look out for signs to confirm the view of a possible rate hike in early August. US Jobless Claims are due at 12.30, they are forecast to remain near 315k for a 2nd week, leaving the 4-week average underneath of 310k. US Non-Manufacturing ISM is due at 2pmGMT, the Index stood at 59 in May and ought to climb to 60 for June. At the same time we also expect May Pending Home Sales, theyâ€™ve dropped 3.7% in April and are believed to drop another 1%.
The Risk Today:
1-H EURUSD: Yesterdays drop to 1.2710 signifies a 38% correction of last weeks bullish move, this is the initial support today, a break can see the Dollar progress to 1.2670 key support, an intra-day a low of 1.2635 would be possible. In the mid-term we like to maintain a bullish Euro view, targeting a rise through 1.2850 to approach the 1.30 level next, in order to maintain a bullish view from here, the 1.2670 level must hold. Failure to do so risks a return to last weeks lows near 1.2500.
Resistance and Support:
|EURUSD ||GBPUSD ||USDJPY ||USDCHF |
|1.2885 S ||1.8620 K ||116.60 S ||1.2500 S |
|1.2790 M ||1.8500 S ||116.00 S ||1.2425 K |
|1.2760 S ||1.8400 S ||115.70 M ||1.2365 M |
|1.2745 ||1.8360 ||115.45 ||1.2305 |
|1.2720 M ||1.8350 S ||115.35 S ||1.2300 S |
|1.2700 S ||1.8280 M ||114.65 K ||1.2260 K |
|1.2670 K ||1.8225 K ||113.80 S ||1.2225 T |
|S: Strong, M: Minor, T: Trendline, K: Keylevel, P: Pivot |
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."
Actionable trading levels delivered to YOUR charts in real-time.
Register To Test Your Amazing Trader
GVI Trading. Potential Price Risk Scale
Mon 23 July 2018
AA: Major, A: High, B: Medium
A 14:00 US- Existing Homes Sales
Tue 24 July 2018
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.
Start trading with forex broker Markets Cube
Max McKegg's Daily Forex Trading Forecasts
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.
Request a TRIAL of Max's Forex Service.