The day ahead in the FX market, Monday November 12th
- Economic calendar is fairly light during Asian trade; Japanese GDP and their tertiary industry index are important releases but the currency market usually ignores them:
- China’s trade surplus for October was much better than expected at $32 billion and this should shape risk-sentiment during Asian trade:
- Wall Street rebounded somewhat on Friday which should also boost regional equity markets:
- EUR/USD: Fell on more Greek worries but Asian central bank bids helped stall losses below 1.2700. Main levels to watch, 100-day MA near 1.2630 and prior lows near 1.2805:
- AUD/USD: Should find support from improved risk sentiment and reserve manager bids at 1.0350. Initial resistance, hourly highs at 1.0440:
- USD/JPY: Large barrier at 79.00 with institutional bids ahead of there. Resistance should be firm 79.90/80.00:
Hi Sean!
How was the weekend?
I’m looking at CAD/JPY. I would normally not bother at all with such a pair, but buying the range’s low has a nice RRR. Depends of course how market sentiment will be. If it turns negative again, stops below 78.80 (should be plenty of them since we are in a 4 month range) could accelerate the downmove. What do you think about this?
Hi Milan, also not a pair I trade and overall I’m bearish yen crosses still
Check back in bit later n I’ll see if I can find out who’s doing what in CAD
Hi Milan, only hearing re some USD/CAD interest, buyers .9960/65 and sellers 1.0020; overall buyers have upper hand according to my contacts but not a mkt I know much about