Forex Technical & Market Analysis: December 05 2012
2012-12-04 14:08 GMT
No breakthrough on banking union due to Franco-German dispute
A clash between France and Germany over banking supervision in the Eurozone prevented the Eurogroup from reaching an agreement on the EU banking union on Tuesday. EU finance ministers decided to hold an additional meeting on December 12, just ahead of the EU summit on December 13, by which time a deal on the banking union needs to be made. France and Germany are divided over the scope of ECB’s powers as the Eurozone bank supervisor. France pushes for a solution in which the central bank would regulate all the financial institutions in the region, while Germany would like smaller banks to be excluded from this supervision. Berlin is also not too keen on seeing a full banking union formed that quickly, as it fears it will be obliged to pay for potential future banking losses in other Member States.
German finance minister Wolfgang Schäuble commented on France’s proposition saying that there was no possibility for the central bank to supervise so many financial institutions, while his French counterpart Pierre Moscovici stated that the EU cannot introduce a system of dual supervision.”We have no mandate for a dual system of supervision which would call into question the existence of a single system for some banks,” the French finance minister argued. – FXstreet.com
Forex Economic Calendar
2012-12-05 15:00 GMT | United States. ISM Non-Manufacturing PMI (Nov)
2012-12-05 20:00 GMT | New Zeeland. RBNZ Interest Rate Decision
2012-12-05 20:00 GMT | New Zeeland. Monetary Policy Statement
2012-12-05 20:00 GMT | New Zeeland. RBNZ Press Conference
Forex News
2012-12-05 05:42 GMT | GBP/USD moves above 1.61, eyes 1.6130
2012-12-05 04:30 GMT | EUR/USD breaks above fresh 8-week highs
2012-12-05 03:00 GMT | EUR/JPY surges to 8-month highs on Nishimura statement
2012-12-05 04:55 GMT | AUD/USD bears defending 1.05
EURUSD
HIGH: 1.31253 | LOW: 1.30906 | BID: 1.31074 | ASK: 1.31082 | CHANGE: 0.09% | TIME: 08:07:22
OUTLOOK SUMMARY: Up
TREND CONDITION: Upward penetration
TRADERS SENTIMENT: Bullish
IMPLIED VOLATILITY: High
MARKET ANALYSIS – Intraday Analysis
Medium term bias is positive for the pair. Risk of market appreciation is seen above the next resistance level at 1.3116 (R1). Loss here would suggest next target at 1.3129 (R2) and any further rise would then be targeting 1.3142 (R3).
Resistance Levels: 1.3116, 1.3129, 1.3142
Support Levels: 1.3090, 1.3080, 1.3072
GBPUSD
HIGH: 1.61185 | LOW: 1.60938 | BID: 1.61062 | ASK: 1.61072 | CHANGE: 0.06% | TIME: 08:07:23
OUTLOOK SUMMARY: Up
TREND CONDITION: Downward penetration
TRADERS SENTIMENT: Bearish
IMPLIED VOLATILITY: High
Market is forming the right shoulder of the Head and shoulders figure on the hourly chart currently, from our next resistance level at 1.6115 (R1). Above here retracement formation might expand its power towards to resistance levels at 1.6124 (R2) and 1.6138 (R3).
Resistance Levels: 1.6115, 1.6124, 1.6138
Support Levels: 1.6091, 1.6080, 1.6064
USDJPY
HIGH: 82.338 | LOW: 81.796 | BID: 82.263 | ASK: 82.268 | CHANGE: 0.45% | TIME: 08:07:24
OUTLOOK SUMMARY: Sideway
TREND CONDITION: Up trend
TRADERS SENTIMENT: Bullish
IMPLIED VOLATILITY: High
Instrument moves sideways. In terms of technical levels next resistance level could be found at 82.29 (R1). Appreciation above it might enable next targets at 82.37 (R2) and 82.46 (R3) in potential.
Resistance Levels: 82.29, 82.37, 82.46
Support Levels: 82.16, 82.07, 81.94
Prepared/Published By FXCC Forex Trading Blog.
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