UFXBank Daily News: USD Rises Against All Other Majors

Posted by admin on September 12, 2011 under forex market | Be the First to Comment

USD Dollar (USD)

In forex trading, the Dollar gained across the board as the Debt Crisis in Greece and Juergen Stark’s, a member of the Executive Board, quit from his ECB post over the bank’s purchases of bonds pushed investors for risk aversion and favored the greenback. The Stock Markets reacted sharply negative as the Dow Jones was crushed by -2.69% and the NASDAQ lost -2.42%. Crude oil declined by -2% and closed at $87.20 a barrel. Gold (XAU) has slightly strengthened by 0.1% and closed at $1,859.50 an ounce. No economic news is expected to be published today.

Euro (EUR)

The Euro was crushed against the US Dollar on speculation that the ECB will cut interest rates based on the fact that the region’s debt crisis is worsening and increasing interest rates is not seen as an option in the midterm. Breaking the next support level of 1.3640 might push the pair lower to the 1.34 zones; otherwise a rebound to the 1.38 areas might be seen. Overall, the EUR/USD traded with a low of 1.3626 and with a high of 1.3936. Today, no major economic news is expected to be published.

EUR/USD – Last: 1.3593

British Pound (GBP)

The Pound buckled under the buying pressure of the US Dollar and fell below the 1.59 zones. The disappointing data of the PPI Input came out at -1.9% worse than the expected -1.6%. Breaking the next support level of 1.5830 might push the pair lower to the 1.56 zones; otherwise a rebound to the 1.6 areas might be seen. Overall, the GBP/USD traded with a low of 1.5842 and with a high of 1.5989. Today, no economic news is expected to be published.

GBP/USD – Last: 1.5858

Japanese Yen (JPY)

The Yen weakened against the US Dollar as a positive US Dollar trend caused the Yen to be less attractive to traders. The USD/JPY’s trend is positive above the 77.00 areas; the next resistance point on the daily chart lies at the 77.75 levels. When the pair breaches this level a long position will be preferred. Overall, the USD/JPY traded with a low of 77.08 and with a high of 77.84. Today, no economic news is expected to be published.

USD/JPY-Last: 77.48

Canadian dollar (CAD)

The Canadian Dollar fell for the second day versus the US Dollar as the Stock Markets dropped and led investors to stick with the US Dollar as a refuge. The disappointing economic data in Canada (published as the Employment Change) came out at -5.5k worse, than the expected 24.2k also supported the greenback. Holding above the support level of 0.9940 might push the pair back to parity. Overall, the USD/CAD traded with a low of 0.9867 and with a high of 0.9977.  Today, no economic news is expected to be published.

USD/CAD – Last: 0.9982

UFXBank Daily News: Crude Oil Jumps by 3.9% & Gold Declines by 2.9%

Posted by admin on September 8, 2011 under forex market | Be the First to Comment

USD Dollar (USD) – In forex trading, the Dollar weakened against the other major currencies as the Federal Reserve said its Beige Book survey found the economy grew at a slower pace in some regions of the country. Wall Street closed positive after four negative days led the Dollar to its weakness, the NASDAQ rose by 3.04% and the Dow Jones by 2.47% respectively. Crude oil jumped by 3.9% and closed at $89.30 a barrel. Gold (XAU) fell by 2.9% owing to the positive stock markets close and finished at $1,819 an ounce. Today, Fed Chairman Bernanke speaks and the Trade Balance is expected at -51.00B vs. -53.10B prior. The Unemployment Claims are expected to be at 405K vs. 409K last week.

Euro (EUR) – The Euro rose against the US Dollar after Italian Prime Minister Berlusconi won a confidence vote on austerity measures, adding to progress in addressing the region’s debt crisis. The EUR/USD is struggling around the 1.4100 level, and only if the pair trades above the 1.4150 level will the Euro become more attractive. Overall, EUR/USD traded with a low of 1.4006 and with a high of 1.4149. Today, the Interest Rate decision is expected to remain at 1.00%, after the ECB Press Conference.

EUR/USD – Last: 1.4055

British Pound (GBP) – The Pound closed positive versus the Dollar as the Stock Market rebounded from a four-day global slump, which encouraged higher-yielding assets. As long as the GBP\USD is trading below the 1.6050 level the trend of the Pound is very bearish. The RSI indicator on the daily chart supports a downtrend as well; the next support level on the one-hour chart is at the 1.5925 level. Overall, the GBP/USD traded with a low of 1.5918 and with a high of 1.6039. Today, the Interest Rate decision is expected to remain unchanged at 0.50%.

GBP/USD – Last: 1.5958

Japanese Yen (JPY) –The Yen strengthened against the US Dollar after the Bank of Japan kept their monetary policy unchanged. A negative momentum of the Dollar also led the Yen to be more attractive. The USD/JPY’s trend is positive above the 77.00 level; when the pair breaks the 77.55 level a long position will be preferred. Overall, the USD/JPY traded with a low of 77.07 and with a high of 77.55. No economic data is expected today.

USD/JPY-Last: 77.37

Canadian dollar (CAD) – The Canadian Dollar gained the most in three weeks versus the US Dollar after the Bank of Canada said it expects growth to resume in the second half of 2011. In addition, the Bank of Canada kept its main interest rate unchanged at 1.00%.  As long as the pair is trading below the 0.9900 level the trend of the US Dollar is negative; the next support level on the one-hour chart is located at the 0.9800 level. Overall, the USD/CAD traded with a low of 0.9832 and with a high of 0.9909. Today, Building Permits are expected to decline from 2.1% to 0.2% and the Trade Balance is expected to be at -1.05B vs. 1.60B prior.

USD/CAD – Last: 0.9855

UFXBank Daily News: Swiss Franc Drops Sharply Against USD & EUR

Posted by admin on September 7, 2011 under forex market | Be the First to Comment

USD Dollar (USD) – In forex trading, the dollar strengthened against most of the major currencies due to an increase in demand for a safe haven currency and growing risk aversion among investors after the Swiss Central Bank imposed a ceiling on the currency’s exchange rate. Despite the Dollar’s own woes – economic and political – it remains the most widespread used fiat currency on the planet. Now, as the European crisis takes the stage for another act in the sovereign debt problem, a need for safety has emerged. In addition, the ISM Non-Manufacturing PMI expanded by 53.3 vs. the 51.20 forecasted, easing concern that the biggest part of the U.S. economy was slumping. The Stock Markets closed the week negative as the Dow Jones fell by 0.90% and the NASDAQ lost 0.26%. Crude oil jumped by 3.80% and closed at $86.45 a barrel as a drop in the US dollar – following Switzerland’s attempt to cap the value of its currency – made raw materials more attractive to investors. Gold (XAU) fell from a record by 1.36%, closing at $1,876 an ounce as some investors sold metal to make up for losses in the Swiss franc after the country’s Central Bank imposed a ceiling to the exchange rate. Today, the Beige Book is expected to be released.

Euro (EUR) – The Euro fell for a sixth day against the U.S. Dollar due to growing risk aversion among investors. The European Central Bank is expected to meet tomorrow. European economic data is underperforming by the most since March 2009 and it will probably effect the ECB decision. Trading below the resistance level of 1.4180 will keep the momentum negative for the pair, but if the pair breaks above this resistance level, it may reach to 1.4350 levels again. Overall, the EUR/USD traded with a low of 1.3971 and with a high of 1.4285. Today, the German Industrial Production is expected to grow by 0.60% vs. 1.10% previously.

EUR/USD – Last: 1.4030

British Pound (GBP) – The Pound fell to a seven-week low against the greenback after a report showed that U.K. retail sales dropped by 0.60%, boosting the case for further economic stimulus measures. Such an action will probably keep the British Pound weaker in the long-term against a broad spectrum of currencies. The trend for the pair remains bearish if the pair maintains the resistance level of 1.6200, but if the pair breaks that resistance it may reach 1.6320. Overall, the GBP/USD traded with a low of 1.5920 and with a high of 1.6208. Today, the Manufacturing Production is expected to grow by 0.10% vs. -0.40% previously.

GBP/USD – Last: 1.5980

Japanese Yen (JPY) – The US dollar strengthened against the Yen after yesterday’s move by the SNB to announce a floor of 1.2000 for the EUR/CHF pair prompted speculations that the BoJ may follow and announce a similar action. Trading above the support level of 77.20 will keep the trend bullish for this pair. Today, no economic data is expected.

USD/JPY-Last: 77.40

Swiss Franc (CHF) – The Swiss Franc dropped the most it ever has against the Euro and the US Dollar, after the Swiss Central Bank imposed a ceiling on the currency’s exchange rate and said it will defend the target with the “utmost determination.” The trend for the pair will continue to be bullish if the pair will maintain the support level of 0.8500. Today, no economic data is expected.

USD/CHF – Last: 0.8590