Welcome to a new year of trading, traders are getting back to a market that’s becoming more complicated with geopolitical issues, the Israeli offensive in Gaza and Russian-Ukraine gas dispute. In the backdrop to this is a rate decision from the UK Thursday and Fridays US Employment situation report. Still Monday should start enough as [...]

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The US dollar began to strengthen against a basket of currencies in thin holiday trading as investors sold the European currency in recognition of data showing deepening recession in the euro zone. Despite dollar gains, manufacturing in the U.S. shrank in December to lowest levels since 1980 signaling a deepening recession. Liquidity remains thin during the holiday season with many market participants taking the day off; full liquidity will likely not return to the markets until next week at

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Euro/US Dollar Consolidates Above Key Support - Breakout Potential? British Pound Outlook Hinges Upon the Bank of England’s Rate Decision US Dollar Ends Friday on Strong Note, Could Pull Back Next Week The US dollar ended Friday mixed across the majors, as the currency gained against the euro, British pound, Swiss franc, and Japanese yen but fell versus the commodity dollars as oil rose toward $50/bbl. The greenback’s gains came despite the release of disappointing US data, which also had

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Oil price extended Friday’s rally on escalated conflict in Gaza. The February contract rose to above $47/bbl in Asia morning with the next resistance at $50/bbl. Israel resisted renewing the ceasefire that expired on Dec 19 and said it has to defeat the Hamas military despite international pressure. Yesterday, Israeli troops drove deeper in Gaza, from aerial campaign to ground operations. Investors worry that the conflict will spread to other parts of the Middle East, such as Saudi Arabia,

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Mon, 05th of January, 2009
By Setyo Wibowo (analyst@fxinstructor.com)
EURUSD Outlook
The EURUSD didn’t make a significant movement on Friday. On hourly chart we can see that the pair moved in ranging area of 1.3980 – 1.3840. However I think the bias remains bearish. We have a descending triangle formation on 4h chart. CCI just cross the -100 [...]

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Monday in Asia, the US dollar strengthened to a 19-day high against the Singapore dollar, 12-day high against the Philippine peso, 10-day high against the Taiwan dollar, 6-day high against the Thai baht and the Malaysian ringgit.

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Monday, the Australian dollar pared the gains it posted in early Asian trading against other major currencies. The aussie thus eased from a 3 1/2 -month high against the loonie, 2 1/2 -month high against the greenback, 2-month high against the yen and a 1-month high against the euro.

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EURO The euro moved lower vis-à-vis the U.S. dollar yesterday as the single currency tested bids around the US$ 1.3840 level and was capped around the $1.3985 level.  The common currency came off after the EMU-15 December purchasing managers’ index receded to 33.9 from 35.6 in November.  European Central Bank member Nowotny reiterated credit conditions remain tight with credit demand quite weak.  Many traders believe the ECB will reduce interest rates further on 15

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Market Brief Volumes are still very thin in this first day of trading of 2009 as many bourses in Asia are still closed for today. The EURUSD channeled downward this morning bringing the pair from 1.4130 levels where it sat for the past 2 weeks as low as 1.3850 – now trading at 1.3920. The USDJPY rose today – Tokyo was closed for a holiday, the Yen giving way to the Dollar as global stocks posted their largest end of year gains ever! Sentiment improved somewhat in the final hours of 2008 as a

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