Interesting day in the currency trading world, even without any blockbuster price moves. It started early on, with the monthly employment data from Australia. The Australian Statistics Bureau reported that the number of people employed in the nation rose by 30,900 in August, exceeding the 25,000 increase forecast. Also, the jobless rate declined to 5.1 percent from 5.3 percent in July. Good news, even better than the already positive expectation.
This proved good for the Australian Dollar, which advanced across the board, even though the original surge on the news did not translate into truly sustained moves. Perhaps most notably the EUR-AUD made an all time low at 1.3720. It does not happen every day, thus noteworthy. Later in the day, the Bank of England held its policy meeting, with a rather predictable outcome – no changes to the interest rates, left at 0.5% and quantitative-easing asset purchases at 200 billion pounds ($310 billion). The Pound dropped, seemingly because of the language of statement, which mentioned “uneven recovery”.
Couple of days ago I suggested a long trade in EUR-CHF, using 4H chart, if a bullish candle develops around the new lows. Eventually it did, so the trade was initiated at 1.2837, after the bullish engulfing line closed. This trade was closed earlier today, at 1.2898, for 61 pips. I was hoping for a faster, stronger move, but since it started to falter, the position was closed. Perhaps this reversal is not for real or maybe I was shaken out by the market – do not know it now, but if the price moves above the current high of 1.2930, that should be a good place to go long again. By then hourly chart should be a better tool to use.
So, will the Loonie also gain, just like the Aussie did today? Canadian employment report is due tomorrow, and positive news could be reflected in the CAD. However, as important as it is, one can not bank on it. This chart of CAD-JPY is starting to look promising on its own merits, with the Yen slipping lately, even without the BoJ intervention. I am watching the 82.00-82.05 area for a breakout. My expectation is for this cross to move by about 150 pips, IF the move comes. Since this is a 4H chart, this set up might take some time to develop.
Mike K.
[...] Perhaps most notably the EUR-AUD made an all time low at 1.3720. It does not happen every day, thus noteworthy. Later in the day, the Bank of England held its policy meeting, with a rather predictable outcome – no changes to the … View full post on EUR/AUD – Google Blog Search [...]
[...] Aussie today, Loonie tomorrow? | fxmadness.com Perhaps most notably the EUR-AUD made an all time low at 1.3720. It does not happen every day, thus noteworthy. Later in the day, the Bank of England held its policy meeting, with a rather predictable outcome – no changes to the … View full post on EUR/AUD – Google Blog Search [...]
[...] to me was the EUR-CHF, a pair I have buying, or trying to buy, for some time now. Last post covers my previous trade, and mentions possible new long entry, on a move above yesterday’s high, or around 1.2930. [...]
[...] EUR-CHF, a pair I have buying, or trying to buy, for some time now. Last post covers my previous trade, and mentions possible new long entry, on a move above yesterday’s high, or [...]
[...] to me was the EUR-CHF, a pair I have buying, or trying to buy, for some time now. Last post covers my previous trade, and mentions possible new long entry, on a move above yesterday’s high, or around 1.2930. [...]
[...] some fundamental news which were positive for the global economic picture. Employment figures from both Australia and Canada increased, easing the recession fears. In addition, the Bank of Canada raised its short term interest rate, [...]
[...] which were positive for the global economic picture. Employment figures from both Australia and Canada increased, easing the recession fears. In addition, the Bank of Canada raised its [...]
[...] trade in Yen was the CAD-JPY from last week. That is what I mean by saying that the JPY started to crack even before the intervention. At any [...]
?Uf, me gust?! Tan clara y positiva.
Gracias
Dougles
?Puedo tomar una peque?a foto de su sitio
Gracias
Truden
?Hola!
No est? seguro de que esto es verdad:), pero gracias a un cargo.
Ilias