Daily Forex News

Bonds markets are telling investors that a prolonged period of low rates will be necessary to dig out from the deepest recession in almost a century. In the United States short rates are effectively zero. The American 10 year bond closed at 3.32% on Friday, a minimal ask considering the…

Although the single currency retreated after intra-day marginal rise to 131.79 (just missed our short entry for 1 pip), break of 130.00 is needed to signal the correction from 129.84 has ended and bring resumption of recent decline towards 129.00 but reckon downside would be limited to 128.00 and chart…

Aussie’s anticipated rally has justified our bullishness and met our indicated upside target at 0.8750 (making 150 points profit), confirming the correction from 0.8790 has ended at 0.8585 and the wave (5) is now in progress. Above said resistance would extend gain to 0.8820 but loss of upward momentum should…

The selloff in British pound after breaking indicated support at 146.75 confirms our view that the c leg as well as the larger degree wave 4 has ended at 163.00 and bearishness remains for further subsequent weakness to support at 139.03 would be seen.

Cable’s breach of indicated 1.5983 support has reinforced our bearish count that wave (v) of C has possibly ended at 1.7044 and bearishness remains for further decline to 1.5690 (38.2% Fibonacci retracement of 1.3500-1.7044) and later to 1.5591 (1.236 projection of 1.7044 to 1.6113 measuring from 1.6742) but reckon 1.5272…

With 4 hours MACD dragged below signal line, an intraday top should be in place in EUR/GBP at 0.9297. Some consolidation could now be seen but after all, pull back is expected to be contained by 0.8983/9081 support zone and bring rally resumption. Above 0.9297 will target 0.9494 resistance next….

Further decline in EUR/CHF cannot be ruled out but after all, price actions from 1.5380 are treated as corrective in nature. Hence, downside should be contained above 1.5007 low and bring strong rebound. Nevertheless, break of 1.5231 resistance is needed to signal that the cross has bottomed out. Otherwise, risk…

Dollar’s near term choppy trading is expected to continue and as temporary low has been formed at 1.0170 last week, minor support at 1.0243 should limit downside and bring another corrective rise to 1.0420/25, however, reckon resistance at 1.0466 would attract renewed selling interest and bring another decline later.

USD/JPY’s rebound from 88.23 continues and break of 89.93 indicates that an intraday low is formed. Some more recovery might be seen but after all, upside is expected to be limited below 92.52 resistance and bring fall resumption. On the downside, below 89.12 will flip intraday bias back to the…

The Japanese yen continue to retreat after Japan Finance Minister Hirohisa Fujii reversed his rhetoric about strong yen policy and as Asian stocks rebound following strength in US equities. Fujii claimed he “never said I will leave the yen to strengthen”, insisting that he was misinterpreted as supporting a strong…