MARKET OVERVIEW
2013-01-07 06:06 GMT
ECB, BOE in Prime Focus this Week
With the Fiscal Cliff behind us and the impending debt ceiling debate at least another month away, market focus will return to plain economic fundamentals next week. The sentiment is being bolstered by two central bank announcements – the ECB (January 10th, 7:45AM EST) and BOE (January 10th, 7:00AM EST). Although nothing really new is expected, both events are still likely to take the lion’s share of attention.
Nothing is expected to happen when the Bank of England meets for the first time in 2013. Although concerns have emerged over a divide in the central bank, it is unlikely that the monetary body will move to do anything other than wait-and-see. The key remains in the results from the Funding for Lending program, which is entering its sixth month of operation. In the same respect, the ECB is unlikely to move when it decides on interest rates on Thursday. Instead, monetary policy leaders will continue to highlight the option of the OMT scheme in quelling any more crisis concerns, and likely point to stabilization in the region’s member economies in justifying no rate change.-FXstreet.com
Forex Economic Calendar
2013-01-07 09:30 GMT | E.M.U. Sentix Investor Confidence (Jan)
2013-01-07 10:00 GMT | E.M.U. Producer Price Index (YoY) (Nov)
2013-01-07 15:00 GMT | Canada. Ivey Purchasing Managers Index s.a (Dec)
2013-01-07 22:30 GMT | Australia. AiG Performance of Construction Index (Dec)
Forex News
2013-01-07 05:37 GMT | US Dollar buyers not giving up
2013-01-07 05:16 GMT | NZD/USD pressured below 0.8300
2013-01-07 04:19 GMT | EUR/USD, recovery above 1.3150 exposes 1.33 – BBH
2013-01-07 03:25 GMT | AUD/JPY multi-year highs capped below 93
| AUDUSD | NZDUSD | USDCHF | USDCAD | GBPJPY | EURCHF | GOLD | SILVER |
|---|---|---|---|---|---|---|---|
| 1.04707/718 | 0.82900/911 | 0.92699/715 | 0.98803/813 | 140.792/813 | 1.20859/874 | 1661.10/.38 | 30.34/.36 |
TECHNICAL ANALYSIS
EURUSD
HIGH: 1.30789 | LOW: 1.30283 | BID: 1.30356 | ASK: 1.30365 | CHANGE: -0.24% | TIME: 07:50:31
OUTLOOK SUMMARY: Down
TREND CONDITION: Downward penetration
TRADERS SENTIMENT: Bullish
IMPLIED VOLATILITY: Low
MARKET ANALYSIS – Intraday Analysis
Upwards scenario: Bearish pressure stays intact though retracement formation might take another step and refresh local highs above the resistance at 1.3065 (R1) would suggest next targets at 1.3082 (R2) and 1.3100 (R3) in potential. Downwards scenario: Next support comes in at the 1.3026 (S1) level. Loss here might keep the rally intact and drive market price towards to the next targets at 1.3009 (S2) and 1.2994 (S3).
Resistance Levels: 1.3065, 1.3082, 1.3100
Support Levels: 1.3026, 1.3009, 1.2994
GBPUSD
HIGH: 1.60817 | LOW: 1.60211 | BID: 1.60263 | ASK: 1.60275 | CHANGE: -0.27% | TIME: 07:50:32
OUTLOOK SUMMARY: Down
TREND CONDITION: Downward penetration
TRADERS SENTIMENT: Bullish
IMPLIED VOLATILITY: Medium
Upwards scenario: Cable has bounced back, however If it manages to break above the next resistance level at 1.6082 (R1), we expect to see new step of uptrend development with possible targets at 1.6119 (R2) and 1.6160 (R3). Downwards scenario: Market sentiment has improved for the bearish oriented traders. Friday low is acting now as key support level at 1.6003 (S1), clearance here is required to attack lower targets at 1.5964 (S2) and 1.5924 (S3).
Resistance Levels: 1.6082, 1.6119, 1.6160
Support Levels: 1.6003, 1.5964, 1.5924
USDJPY
HIGH: 88.373 | LOW: 87.789 | BID: 87.838 | ASK: 87.844 | CHANGE: -0.34% | TIME: 07:50:33
OUTLOOK SUMMARY: Down
TREND CONDITION: Downward penetration
TRADERS SENTIMENT: Bullish
IMPLIED VOLATILITY: Medium
Upwards scenario: USDJPY accomplished new step of uptrend formation and fall to the correction formation. Risk of further market increase is seen above the resistance at 87.95 (R1). Violation here might increase bullish pressure and expose next targets at 88.15 (R2) and 88.34 (R3). Downwards scenario: Bearish pressure remains in power today as both moving averages are pointing down. Next support level is seen at 87.59 (S1). Decline below it might resume weakness towards to our targets 87.40 (S2) and 87.22 (S3).
Resistance Levels: 87.95, 88.15, 88.34
Support Levels: 87.59, 87.40, 87.22
Prepared/Published By FXCC Forex Trading Blog.