The Aussie moved higher overnight on the back of a weaker greenback following last weeks dovish FOMC meeting. The currency moved through 0.77 cents hitting an intraday high of 0.7746 before finally settling around technical support of 0.7730 which was the November peak. Attention now turns to today’s RBA minutes… read more
Daily
The following is a summary of the previous day’s foreign exchange market movements in the major currencies and the commodities markets. It is meant as an informative guide to the reasons underlying currency and commodity movements seen in the previous day’s foreign exchange trading. Together with a market snapshot at close of the New York session, indicators/events released during the session are outlined compared with their expected level of influence before release. This fundamental analysis summary also highlights upcoming data/events which may influence currency movements upon their release.
You will also find a technical analysis snapshot at time of release, highlighting support and resistances of each of the major currencies and gold. Coupled together with the reasons behind these important levels, traders can expect some support or resistance when these levels are reached.
Daily Outlook
March 20, 2017The U.S. dollar was sold off on Friday on expectation that the Federal Reserve will raise rates at a more gradual pace then initially thought. Traders are now turning their focus on President Trump’s fiscal spending plans and how he intends to push his through his tax cuts initiatives. The… read more
Daily Outlook
March 17, 2017A huge US Dollar selloff post FOMC rate rise has surprised Asian traders waking up Thursday to what they thought would be a strong USD. The main reason for the selling of the USD was the dovish tone of the press conference and the cloudy guidance given as to the… read more
Daily Outlook
March 15, 2017The US FOMC Meeting today is the main event this week but the outcome is widely expected and priced in already. After a flurry of FED members spoke in the last 2 weeks about raising rates it was all but confirmed by Janet Yellen that the rate hike was coming in… read more
Daily Outlook
March 13, 2017February US NonFarm Payroll numbers came in stronger than expected at 235k vs a street estimate of 190k. Even though the number cements a March FOMC rate hike this Wednesday the USD was unable to continue its aggressive rally however as profit taking overwhelmed. Some of the USD weakness is also… read more
Daily Outlook
March 10, 2017U.S. oil prices broke down below $50 for the first time this since November 29. WTI for April delivery settled down 2% or $1 to $49.28 a barrel on the New York Mercantile Exchange. It has lost 7.6% in the last few days. Brent crude, the global benchmark, lost 1.7% or 92… read more
Daily Outlook
March 9, 2017The greenback rose to it’s highest level in two months after a strong ADP payrolls report that highlighted the strength of the U.S. economy. The report showed that private-sector hiring accelerated last month fueled by the construction, mining and manufacturing sectors. The assumption can therefore be made that Friday’s nonfarm payrolls report… read more
Daily Outlook
March 8, 2017Yesterday as expected, the Reserve Bank of Australia kept it’s cash rate unchanged at 1.50%. In the accompanying statement, the RBA remained positive around global growth but expected inflation to remain low for some time. We would expect that the RBA will not make any further moves on the downside… read more
Daily Outlook
March 7, 2017The greenback edged higher on Monday as traders gain confidence that the Federal Reserve will raise rates this month. All eyes are now on NFP numbers which will be released on Friday. A strong report will solidify expectation of a rate increase. However, the yield curve would suggest some caution on… read more
Daily Outlook
March 6, 2017Yellen confirmed the FED March Rate Hike is on the table unless data changes. With stocks at record highs and inflation picking up, only the US Nonfarm Payrolls this Friday have the ability to derail the hike train now. The NFP has been consistently strong in the last 6 months… read more
