Session Wraps - Major Forex Headlines wrapped up by trading session

Author: Eamonn Sheridan

Forex news for Asia trading Tuesday 25 July 2017

USD/JPY had an early move a few points higher in the Tokyo morning, testing to its US-time high around 111.30 but the move was not sustained. USD/JPY drifted back to under 111.10 amidst some USD weakness, albeit in only small ranges and not across the board.

EUR/USD moved up towards 1.1655 (from session lows early around 1.1630). Cable and USD/CHF are both little changed on the session, as is gold.

There was a flurry of activity in the NZD, lower on news hitting of a contagious cattle disease:

But it soon bounced back to be also little changed on the session.

AUD/USD had drifted lower to around 0.7910 and just under but it too bounced back, to above 0.7930 briefly.

There has been very little in the way of fresh news today. We got some Australian data (weekly consumer sentiment, higher on the week), BOJ June meeting minutes (the minutes are preempted by the 'Summary of Opinions' which come out much sooner after the meeting) and that NZ cattle news was about it.

Maybe it's a lame excuse, but the market seems to be waiting on the FOMC announcement on Wednesday, previews:

Regional equities:

  • Nikkei -0.13%
  • Shanghai +0.18%
  • HK +0.06%
  • ASX +0.84%

View More

View Full Article with Comments

Author: Greg Michalowski

Forex news for trading on July 24th, 2017

An end of day snapshot of other markets show:

  • Spot gold +0.38%, or+0.3%
  • WTI Crude oil up $0.64 or 1.42%
  • US stocks ended the day mixed. The Nasdaq closed at a record level up 0.36%. S&P fell by -0.11%. The Dow was lower by -0.31%
  • US yields rose: 2 year 1.360%, +2 bp.  5 year 1.819%, +1.7 bp. 10 year 2.2535%, +1.5 bp. 30 years 2.833%, +2.4 bp
  • European stocks were mixed

The USD was mixed with modest gains vs the EUR, CHF and NZD and declines vs the GBP, CAD and AUD.  The strongest currency on the day was the CAD. The weakest was the NZD.

The CAD benefited from higher oil prices and better Canada manufacturing whole sales (rose 0.9% vs +0.5%) . That helped to pressure the USDCAD to the lowest levels since May 3rd 2016, when the pair bottomed at 1.2460.  The price today fell below the 1.2500 level to a low of 1.2483 but has move back up to 1.2511 near the close.  The pair remains oversold, but continues to make new daily lows.  In the new day, watch a move above 1.2522-24. It could lead to more upside momentum on a break higher. A move below the 1.2497 (trend line) should see a run in the new day toward the low price from 2016 (at 1.2460).  

There was limited US data today. The Markit PMI indices were better with the Manufacturing index up to 53.2 vs 52.2 estimate. The service PMI was also better than expected.  Later, existing home sales showed a decline from the prior month of -1.8% but the sales pace of 5.52M is still reflective of low inventory.  Median prices yoy are up 6.5%.  

The data had a limited impact immediately after the release. However over time there was some modest increase in the USD.

For the USDJPY, the pairs price - in the London morning session - fell below the 61.8% of the move up from the June 2016 low at 110.967, but recovered during the NY session.  The pair is ending near unchanged after spending most of the day in the red. That might be indicative of a better tone in the new trading day.  The 111.47 to 111.54 were swing lows from Wednesday and Thursday of last week.  That may be a target in the  new day.  The 100 and 200 day MAs at 111.66 and 112.96 respectively would be other upside targets.  

The EURUSD bottomed at 1.1624, above the support target at 1.16157. That level corresponds with the high from May 2016.   Stay above that level in the new trading day is move bullish. Move below and it will be more bearish.  

As mentioned above, the NZD was weakest currency on the day. For the NZDUSD the pair corrected lower from what was the highest high since September 2016.  The fall saw the price retest the 200 week MA at 0.7724 (the low reached 0.7721). The price is closing at 0.7437 - above the 200 week MA level. That keeps the buyers still in control as we head into the new trading day.   Stay above 0.7724 is more bullish. Move below is more bearish.

Good fortune with your trading in the new trading day. 

View More

View Full Article with Comments

Author: Mike Paterson

Forex news for European morning trading on July 24 2017



A busy enough session to kick-start a week that once again will see the FOMC in focus.

After the big rally last week for the euro traders have been happy to take some money off the table, helped in part by softer than expected PMI data, and we've seen EURUSD down to 1.1630 from 1.1675,  EURGBP down to 0.8932 from 0.8970 and EURJPY down to 128.86 from 129.70 with USDJPY failing to hold the rally back above 111.00 and posting new recent lows of 110.62

The sell-off in EURGBP put a bid under GBPUSD and after an early fail at 1.3020 and retreat to 1.2990 it was mostly one-way traffic to post 1.3050 before being capped by fresh sell interest.

Similarly AUDUSD found a bid from EURAUD supply and has been up to post 0.7967 from 0.7920 before running out of steam as EURUSD found dip demand.

Equities have been and oil started a little wobbly but then found support from lots of output cut rhetoric emanating from the latest OPEC/non OPEC meeting. WTI  has risen to $46.33 from $45.45, and Brent $48.76 from $47.70 before both running out of puff.

                                                          Brent crude 15min

Next data risk comes in the form of US mftg PMI at 13.45 GMT with existing home sales following at 14.00 GMT.

View More

View Full Article with Comments 9

Author: Eamonn Sheridan

Forex news for Asia trading Monday 24 July 2017



Some minor movement in currencies has left rates little changed for the beginning of the week. The USD slid a few points (not quite across the board) as the Tokyo morning gathered pace but soon reversed to come back - to a near 13-month low..

EUR/USD popped to circa 1.1684 and prompted a little perspiration but soon turned itself back, drifting to around 1.1665 and its just above there again as I update. Yes, a small range only but knocking on recent highs.

USD/CHF has edged a few points to the better on the session while GBP/USD has ticked off a small gain to be above 1.3010 as i update.

USD/JPY dipped under 110.80 briefly and edged back to around 111.00. The BOJ purchased JGBs today in a reduced amount compared with its previous operation (5 to 10 yrs at 470bn yen purchased, down 30bn yen) - reported once again as 'tapering' by some, but amounts purchased are now less important, the BOPJ targeting YCC thus making amounts an "endogenous variable" (check this out for an explanation of what this is)

Some slight AUD/NZD buying has seen AUD up a few points (against the USD) while NZD a few to the worse (against the USD).  News and data flow of AUD and NZD was near non-existent, as it was for pretty much everything.

Regional equities:

  • Nikkei -0.81%
  • Shanghai +0.18%
  • HK +0.40% ... the Hang Seng looks on track for its strongest close in 2 years today.
  • ASX -0.92%
  • Grab raised $2 billion from Didi Chuxing and Softbank
  • Ups efforts to fend off Uber

View More

View Full Article with Comments

More session wraps for your convenience.