MARKET OVERVIEW
2013-01-17 06:02 GMT
Nowotny’s comments boost the euro
The member of the ECB governing council Ewald Nowotny declared at the Euromoney press conference in Austria on Wednesday that the Eurozone is bound to contract in 2013 and that growth would return in 2014. Nowotny warned that economic activity would decrease this year, adding however that this trend should start reverting in the third semester of the year. Nevertheless, he suggested that growth would not come back until the beginning of 2014. Nowotny also commented that the euro exchange rate is “not a matter of major concern,” responding to Luxembourg Prime Minister Jean Claude-Juncker’s earlier concerns over the excessive strength of the currency. He assured that EU banks depend less and less on the central bank’s funding.
After a year of upheaval across peripheral Europe in 2012, the single currency managed to notch a steadfast gain against its American counterpart during the latter months. Quantifying this advance into the frame of the previous six months however, the EUR has climbed a sizable +8.0% against the USD – posing a fresh threat to the European economy just as many had assumed it was in escape velocity from its debt crisis.-FXstreet.com
Forex Economic Calendar
2013-01-17 09:00 GMT | E.M.U. ECB Monthly Report
2013-01-17 13:30 GMT | United States. Housing Starts (MoM) (Dec)
2013-01-17 15:00 GMT | United States. Philadelphia Fed Manufacturing Survey (Jan)
2013-01-17 21:45 GMT | Australia. Consumer Price Index (YoY) (Q4)
Forex News
2013-01-17 05:25 GMT | GBP/JPY holding 141.00
2013-01-17 05:16 GMT | EUR/USD in need of 1.3250-1.3310 break
2013-01-17 04:35 GMT | Top-heavy AUD/JPY looking South
2013-01-17 03:35 GMT | AUD/USD dip eyes 1.0500, threatening to continue
| AUDUSD | NZDUSD | USDCHF | USDCAD | GBPJPY | EURCHF | GOLD | SILVER |
|---|---|---|---|---|---|---|---|
| 1.05029/038 | 0.83889/903 | 0.93188/203 | 0.98690/701 | 141.803/823 | 1.23717/739 | 1678.18/.46 | 31.34/.36 |
TECHNICAL ANALYSIS
EURUSD
HIGH: 1.33147 | LOW: 1.32699 | BID: 1.32803 | ASK: 1.32809 | CHANGE: -0.06% | TIME: 07:57:55
OUTLOOK SUMMARY: Down
TREND CONDITION: Sideway
TRADERS SENTIMENT: Bearish
IMPLIED VOLATILITY: Medium
MARKET ANALYSIS – Intraday Analysis
Upwards scenario: After the consolidation provided market sentiment is slightly improved for the Euro. Further appreciation needs to clear barrier at 1.3318 (R1). Intraday targets could be found at 1.3333 (R2) and then at 1.3347 (R3). Downwards scenario: Downwards scenario: Market decline below the support level at 1.3269 (S1) might change overall technical picture and shift market sentiment to the bearish side. In such scenario we expect next targets to be exposed at 1.3254 (S2) and 1.3239 (S3)
Resistance Levels: 1.3318, 1.3333, 1.3347
Support Levels: 1.3269, 1.3254, 1.3239
GBPUSD
HIGH: 1.60171 | LOW: 1.59806 | BID: 1.59964 | ASK: 1.59971 | CHANGE: -0.05% | TIME: 07:57:56
OUTLOOK SUMMARY: Down
TREND CONDITION: Upward penetration
TRADERS SENTIMENT: Bullish
IMPLIED VOLATILITY: Medium
Upwards scenario: Possibility of the downtrend recovery is seen above the local high formed today at 1.6018 (R1). Price extension might validate next intraday targets at 1.6029 (R2) and 1.6041 (R3) in case of successful appreciation above it.Downwards scenario: Cable is consolidating after its losses. A break below the support at 1.5980 (S1) would allow bears remaining in play on the medium-term perspective. Next targets could be found at 1.5970 (S2) and 1.5959 (S3).
Resistance Levels: 1.6018, 1.6029, 1.6041
Support Levels: 1.5980, 1.5970, 1.5959
USDJPY
HIGH: 88.79 | LOW: 88.133 | BID: 88.658 | ASK: 88.665 | CHANGE: 0.32% | TIME: 07:57:58
OUTLOOK SUMMARY: Up
TREND CONDITION: Upward penetration
TRADERS SENTIMENT: Bearish
IMPLIED VOLATILITY: Medium
Upwards scenario: Appreciation above the 88.79 (R1) might boost the upside pressure. Next visible resistance levels are expected at 88.91 (R2) and 89.04 (R3) in potential. Downwards scenario: Next support level locates at 88.54 (S1), breaching of this level is significant to extend the downside pressure towards to next support 88.40 (S2). If the price manages to overcome it, our final target for today would be found at 88.26 (S3).
Resistance Levels: 88.79, 88.91, 89.04
Support Levels: 88.54, 88.40, 88.26
Prepared/Published By FXCC Forex Trading Blog.