News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHHGbZ https://t.co/nAoZXAZFuD
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EST on DailyFX! https://t.co/lxd5fZnn4H
  • Bitcoin ended a 10 consecutive day advance with yesterday's bearish close - breaking pace only after it overtook the 100-day moving average. That 10-day climb matches the longest bull charge with only two other examples. $BTCUSD https://t.co/G5UdX96mn9
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4CnobJCss https://t.co/9t94CbyQEi
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Find out about the recent history of ISM data, how to track it, and how to trade its release here: https://t.co/MZtBh88nOv https://t.co/LB749nN0K4
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/7JZu61F0OW
  • Tech stocks pulled back from record territory after Amazon posted tepid Q3 guidance. Get your weekly equities forecast from @margaretyjy here: https://t.co/kpYlD2ryue https://t.co/pXDztqY8PQ
  • Many people are attracted to forex trading due to the amount of leverage that brokers provide. Leverage allows traders to gain more exposure in financial markets than what they are required to pay for. Learn about FX leverage here: https://t.co/BdgFmkRxVw https://t.co/LQS1xMPSVc
  • When it comes to buying and selling forex, traders have unique styles and approaches. Learn about buying and selling forex here: https://t.co/D8DXSAdpqC https://t.co/WmRkOUGwlq
  • Recent price action in the US Dollar Index (DXY) casts a bearish outlook for the Greenback as it extends the series of lower highs and lows from earlier this week. Get your weekly USD technical forecast from @DavidJSong here: https://t.co/aQVzoACWEp https://t.co/TBFiTrur0P
Daily Observations: December 17, 2012

Daily Observations: December 17, 2012

Christopher Vecchio, CFA, Senior Strategist

Current Positions:

- Short AUDJPY from 88.83, Stop at 89.20, Target 1 at 87.60

- Long EURCHF from 1.2018, Stop at 1.1990, Target 1 at 1.2500, Target 2 at 1.2750

- Short EURJPY from 111.10, Stop at 111.20, Target 1 at 109.75, Target 2 at 108.60

- Short USDJPY from 84.15, Stop at 84.35, Target 1 at 83.50, Target 2 at 83.20

Recently Closed Positions:

- Exited Short AUDUSD (3/4) from 1.0582 at entry for 0.0-pips

- Exited Short EURUSD from 1.3103 at 1.3130 for -27-pips

- Closed Long USDJPY from 80.65 (1/2) at 84.15 for +350-pips

Time Frame: 1-day to 1-week

If you were following me in the Real Time News feed yesterday when markets reopened, I was advocating Yen strength following the election, at least for a few days, for a few reasons. First, a major event like this with a respectable rally ahead of it, to me, screams 'buy the rumor, sell the news.' Second, the AUDJPY, EURJPY, and USDJPY had all traded into areas of former highs; there's little reason to believe that major technical levels would be revisited without buying/selling interest returning to the market. Finally, and perhaps most important, net non-commercial futures positions show that the market is the most short the Japanese Yen since July 2007. In sum, looking for a rebound in the Yen ahead of the Bank of Japan's meetings this week offers an interesting set of circumstances.

Considering the momentum behind the Yen's depreciation, these trades are very short-term in nature, and accordingly, I am keeping my Stops very, very close on these positions. I will be looking to move the Stops up to the various entries in order to keep these trades risk free, just in case of unforeseen Yen weakness, despite the conditions listed above.

Any other trade ideas and general macroeconomic musings can be found in the Real Time Newsfeed, or by following me on twitter @CVecchioFX.

--- Written by Christopher Vecchio, Currency Analyst

To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com

Follow him on Twitter at @CVecchioFX

To be added to Christopher’s e-mail distribution list, please fill out this form

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES