Tuesday, November 24th (08:30 am New York Time) USA
News: US Annualized GDP
If More Than 3.5 Good News for US EUR/USD --> DOWN 30pips USD/JPY --> UP 30pips US Annualized GDP (Forecast 3.0%) Actual = If Less Than 2.5 Bad News for US EUR/USD --> UP 30pips USD/JPY --> DOWN 30pips
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Price At 09:00 PM (SGD Time) Profit Target Stop Loss Results EUR/USD 1.4976 USD/JPY 88.61
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Market Sentiments At 09:00PM (SGD Time) EUR/USD USD/JPY D1 è î H1 ì î M15 ì î M5 ì î
Tuesday, November 17th (08:30 am
News: US Producer Price Index y/y
If More Than -1.3% | Good News for | USD/JPY --> Up 30pips | EUR/USD --> Down 30pips | |
(Forecast -1.8) | ||||
If Less Than -2.3% | Bad News for | USD/JPY --> Down 30pips | EUR/USD --> Up 30pips |
Price At 09:25 PM (SGD Time) | Profit Target | Stop Loss | Results | |
USD/JPY | 89.33 | |||
EUR/USD | 1.4881 |
Market Sentiments At 09:15pm (SGD Time) | USD/JPY | EUR/USD |
D1 | ì | î |
H1 | î | ì |
M15 | î | ì |
M5 | ì | î |
Tuesday, November 17th (04:30 am
News:
| | If More Than 2.0 | Good News for | GBP/USD --> UP 40pips | GBP/JPY --> UP 40pips |
| (Forecast 1.7) | Actual = 1.8 | Not Hit | | |
| | If Less Than 1.4 | Bad News for | GBP/USD --> DOWN 40pips | GBP/JPY --> DOWN 40pips |
| | Price At 05:25 PM (SGD Time) | Profit Target | Stop Loss | Results |
| GBP/USD | 1.68325 | | | |
| GBP/JPY | 149.702 | | | |
| Market Sentiments At 04:30pm (SGD Time) | GBP/USD | GBP/JPY |
| D1 | ì | è |
| H1 | ì | è |
| M15 | ì | î |
| M5 | î | î |
The currency strengthened against all 16 of the most- actively traded currencies after Freddie Mac, the second-biggest U.S. mortgage-finance company, reported a record loss and the Federal Reserve reduced its 2008 economic growth forecast. Crude oil rose above $99 a barrel, which may slow consumer spending and put pressure on the central bank to cut interest rates.
``Subprime problems are far from done,'' said Saburo Matsumoto, senior manager of foreign-exchange sales at Sumitomo Trust & Banking Co. in Tokyo, Japan's fifth-largest lender by assets. ``The yen is being buoyed by it.''
Japan's currency climbed to 108.93 per dollar, the highest since September 2005, before trading at 109.15 as of 2:17 p.m. in Tokyo, compared with 109.97 late yesterday in New York. It rose to 161.96 a euro from 163.21. The dollar traded at $1.4839 per euro, after reaching $1.4852 yesterday, the lowest since the single European currency's debut in 1999.
Japan's currency may rise to 107 per dollar this year, Matsumoto said.
Australia's dollar slipped 1.4 percent to 96.71 against the yen from 98.13, New Zealand's dollar weakened 1.4 percent to 82.93 yen from 84.15, and South Korea's won declined 1.5 percent to 8.4959.
Dollar Losses
The dollar may extend losses as traders bet the Fed will cut interest rates for a third time to keep the economy from slipping into recession. The U.S. consumes one quarter of the world's oil, the price of which has risen to a record, posing a dilemma to the central bank in cutting rates at the same time as keeping inflation at bay.
``This is one of the biggest challenges the central bank faces, weighing up the near-term risks of economic weakness with more medium-term inflationary pressures,'' said Adrian Foster, director of currency sales in Beijing at Dresdner Kleinwort, the investment bank owned by Germany's Allianz SE. ``It's very much a dollar decline.''
The currency may fall to $1.50 per euro by year-end, Foster said.
Oil had a correlation of minus 0.89 in the past month with the U.S. Dollar Index traded on ICE Futures U.S. in New York, which measures the currency against six major counterparts including the euro, yen and Swiss franc. A reading of minus 1 would mean the two moved in opposite directions.
A report today may show U.S. housing starts slipped to a 14- year low in October, prompting traders to raise bets the Federal Reserve will cut interest rates by December. The dollar also slid on speculation a group of six Arab nations will change their fixed exchange rates to the U.S. currency. The yen fell versus all 16 of the major currencies as global stocks rose.
``The dollar right now is the `persona non-grata' of the currency world,'' said Boris Schlossberg, senior currency strategist at DailyFX.com in New York.
The dollar weakened to $1.4778 per euro as of 7:55 a.m. in New York from $1.4665 late yesterday. It touched $1.4797, the lowest since the 13-nation currency was started in 1999. It rose to 110.39 yen from 109.76 yen, and fell to a record low of 1.1070 versus the franc from 1.1152 yesterday.
The yen fell as European and Asian stocks gained, giving traders confidence to buy higher-yielding assets funded by selling the Japanese currency. The currency slid 2.3 percent against the Norwegian krone as investors returned to so-called carry trades.
Source: Bloomberg
