Forex News Blog
Back to The Headlines
Tuesday February 6, 2007 - 10:04:39 GMT
Share This Story
ACM - www.ac-markets.com
Yen gains ahead of G7-meeting concern...
By Jean-Claude Braha - ACM Senior Trader
News and Events:
The Yen was stronger on Monday on increasing investors concern that Group of Seven finance ministers will take a tougher line on recent weakness in the Japanese currency at their coming weekend meeting. The Yen is gaining support due to event risks ahead of the G7 and dealers said the reason for Mondayâ€™s rally was positioning on the Yen as last weekâ€™s data showed speculators held a record net short position on the Yen in the International Monetary Market. Extreme net short positions in a currency often suggest that a reversal in price is imminent because dealers might be uncomfortable about keeping such large positions open. The US ISM non-manufacturing index climbed to an 8-month high of 59.0 in January, up from 56.7. The employment index, which has a much better correlation with payrolls in the service sector, fell to an 11-month low of 51.7 from 53.2. In addition, since the new orders index edged down to 55.4 from 55.6, analysts would see we this report as a negative outlook. They also suggest that January's disappointing 111,000 increase in payrolls might be the start of a weaker trend. EurUsd fell -0.22% to 1.2933 and GbpUsd slipped -0.27% to 1.9607 after hitting intraday low at 1.9537. EurJpy fell as low as 155.28 before recovering to 155.46 (-1%). UsdJpy was down -0.75% at 120.21 and GbpJpy ended down -1.03% at 235.70.
Today's Key Issues:
NZD Markets closed for Holiday Observance.
Euro 10:00 GMT: December Retail Sales expected 1.1% vs 0.5% (MoM) and 2.3 vs 1.3% (YoY).
Euro 11:00 GMT: December German Factory Orders seasonally adjusted expected 0.5% vs 1.5% (MoM).
GB 11:00 GMT: BRC January Retail Sales same store expected 1.8% vs 2.5% (YoY).
CAD 13:30 GMT: December Building Permits expected -2.5% vs 3% (MoM).
US Fedâ€™s Paulson, Moskow, Bernanke, Yellen are speaking at different committee and conferences.
AUD 22:30 GMT: Reserve Bank of Australia Rate Decision expected unchanged at 6.25%.
The Risk Today:
EurUsd briefly violated 1.3050 resistance at 1.3057 (38.2% retracement of the 1.3368-1.2865 decline). The abrupt reversal has resulted in a break of at 1.2925 last week low and minor support. A break of 1.2900 trend support would signal a resumption of the bear trend and open 1.2866 and 1.2820 strong support. On the upside, a break of Friday's high at 1.3074 is required to reinstate a bullish theme.
GbpUsd has found resistance at 1.9750 (61.8% retracement of the 1.9917-1.9482 decline), where a break is required to reinstate a bullish theme. Only a move above there would reasonably confirm a return of the underlying bull trend, opening the door for a run above the 1.9917 trend high. Minor support is around 1.9590 but only a break of 1.9482 would damage the growing bull trend recovered from last week 1.9482 lows.
UsdJpy is likely to remain vulnerable following the recent sell-off from 121.40. The former key breakout level of 119.90 marks the next important support and a break would expose 119.23 (38.2% retracement of 114.43-122.20). A move above 121.40 (61.8% retracement of the 122.20-120.10 decline) would confirm the return of the bull channel.
UsdChfâ€™s recent sell-off from trend high resistance at 1.2585 was sharp, but so far it's holding above the 1.2376 reaction low from end of January. A break of 1.2376 would clearly end the bull channel from early-December and open the door for next 1.2260 support. The next upside trigger is at 1.2585. For now initial support stands at 1.2430.
Resistance and Support:
|EURUSD ||GBPUSD ||USDJPY ||USDCHF |
|1.3290 T ||1.9917 T ||123.25 K ||1.2770 T |
|1.3130 P ||1.9850 P ||122.40 S ||1.2585 M |
|1.3050 S ||1.9750 S ||121.40 T ||1.2550 S |
|1.2930 ||1.9620 ||120.40 ||1.2480 |
|1.2900 T ||1.9590 M ||120.20 S ||1.2430 K |
|1.2866 M ||1.9512 S ||119.90 K ||1.2376 S |
|1.2820 S ||1.9482 K ||119.23 S ||1.2260 S |
|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."
Elevate Your Trading With The Amazing Trader!
The Amazing Trader includes:
Register To Test Your Amazing Trader
- Actionable trading levels delivered to YOUR charts in real-time.
- Live trading strategy sessions.
- Market Updates with Trading Tools.
Trading Ideas for 16 October 2017
Register for the Amazing Trader
Amazing Trader EVENT RISK Calendar:
Mon 16 Oct /ul>
01:30 CN- CPI
21:45 NZ- CPI
Tue 17 Oct
08:30 GB- CPI
09:00 DE- ZEW Survey
09:00 EZ- Final HICP
Wed 18 Oct
12:30 US- Housing Starts & Permits
14:30 US- EIA Crude
Thu 19 Oct
01:30 AU- Employment
08:30 GB- Retail Sales
12:30 US- Weekly Jobless
Fri 20 Oct
12:30 CA- Retail Sales & CPI
14:00 US- Existing Homes Sales
John M. Bland, MBA
- POTENTIAL PRICE RISK: HIGH Tue-- 08:30 GMT GB- CPI top tier confirmation of Inflation.
- POTENTIAL PRICE RISK: Medium Tue-- 09:00 GMT DE- ZEW Survey second most important German monthly Survey.
- POTENTIAL PRICE RISK: Medium Tue-- 09:00 GMT EZ- final HICP revision to flash report. Revisions are usually minor.
- POTENTIAL PRICE RISK: Medium Tue-- 13:15 GMT US- Industrial Production. Top output indicator.
- POTENTIAL PRICE RISK: Medium Wed-- 12:30 GMT US- Housing Starts and Permits revision to flash report. Useful housing leading indicator.
- POTENTIAL PRICE RISK: Medium Wed-- 14:30 GMT US- EIA Crude. Top WTI inventory measure.
co-founding Partner, Global-View.com
EXCLUSIVE: Global-View Daily Trading Chart Points Updated
EXCLUSIVE: Global-View Free Forex Database updated
TRADER ADVOCACY ARTICLES
Trader's Advocate Articles..