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.

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
EUR/USD
Bearish
Oil - US Crude
Bearish
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
Wall Street
Bearish
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
Gold
Bearish
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
USD/JPY
Bearish
More View more
Real Time News
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/HOvzuOICQx
  • Ever wonder if there are other chart types that can be sued for technical analysis? HLOC charts are discussed in the following article as well as their pros and cons. Learn more here: https://t.co/qV3c7a4YR3 https://t.co/32hYzqhuZ9
  • The Australian Dollar sits on the crossroads of Treasury yields, the S&P 500 and US fiscal stimulus expectations. Will $AUDUSD gains slow? Chinese Q4 GDP and Australian jobs data are due. Get your market update from @ddubrovskyFX here: https://t.co/BsYmmWFYOH https://t.co/HhLqb2iVgk
  • #Gold prices have come under significant pressure to kick-off 2021. However, the formation of bullish technical patterns across multiple timeframes suggests that a rebound higher may be at hand. Get your market update from @DanielGMoss here: https://t.co/Dpf8N4Fh0T https://t.co/pnZpnM9yT5
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Learn about the importance of the ISM manufacturing index here: https://t.co/Xr3xtoFpZy https://t.co/yCtLFemdNc
  • GBP underpinned as BoE downplays negative rates, alongside vaccine rollout. Get your market update from @JMcQueenFX here: https://t.co/n6V6uw0XV5 https://t.co/Toq2fxSdBE
  • Technical analysis of charts aims to identify patterns and market trends by utilizing differing forms of technical chart types and other chart functions. Learn about the top three technical analysis tools here: https://t.co/KDjIjLdTSk https://t.co/5VzSt5Ak7R
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sIHrP https://t.co/Jkv0onMyZw
  • Why is JPY called a safe haven? What are some factors in its favor this quarter? Get your free forecast here: https://t.co/mzeJ5x73N3 #DailyFXGuides https://t.co/S4bwgGZxmw
  • Traders utilize varying time frames to speculate in the forex market. The two most common are long- and short-term-time frames which transmits through to trend and trigger charts. Learn more about time-frame analysis here: https://t.co/9S5tXIs3SX https://t.co/T3W8CIg5iy
2 Asian Pairs That May Have Topped

2 Asian Pairs That May Have Topped

2013-08-27 00:46:00
Kathy Lien, Technical Strategist

Divergent outlooks for Australia and New Zealand may mean a mid-term top for AUDNZD, while massive liquidation of yen short positions could halt the upside momentum in USDJPY.

Monday’s best-performing currency was the New Zealand dollar (NZD), which may be surprising to some because New Zealand's trade deficit ballooned in the month of July. Economists had been looking for the country's trade surplus to turn into a small deficit, but due to weak exports and a rise in imports, New Zealand reported its largest trade deficit since September 2012.

While the NZD initially fell on the report, the currency recovered very quickly because the increase in imports reflects stronger domestic demand. Compared to Australia, the outlook for New Zealand's economy is still brighter, with some economists even calling for New Zealand to be the best-performing G10 nation next year.

While we feel that this call may be a bit bold, we agree that the NZD is poised for further gains, especially against the Australian dollar (AUD). After hitting a four-month low at the end of last month, AUDNZD has staged a decent recovery up to 1.16. The pair is struggling to rally beyond this former support-turned-resistance level, however, and we feel that this could mark a medium-term top for the pair.

No economic reports are expected from any of the three commodity-producing nations over the next 24 hours, so traders should keep their eyes on the US dollar and especially gold, which exceeded $1400 an ounce for the first time in two months. If this level holds, we could see a further move towards $1500, which could rally AUDUSD.

A Possible Top for USD/JPY

The Japanese yen (JPY) traded lower against all major currencies on Monday with exception of the New Zealand dollar. Like the Eurozone, this is a busy week for Japan, but unlike the euro, Japanese data tends to have less impact on the currency.

Investors continue to look for reasons why USDJPY refuses to rise. Last Friday's CFTC IMM data showed speculators reducing their short yen/long dollar positions, and some are saying that the sale of USDJPY could be capping the move in the pair.

The Bank of Japan (BoJ) also released a report on inter-office assets in foreign banks, and according to JPMorgan, global investors unwound several billion worth of JPY shorts in June. The fear is that if emerging markets destabilize further, we could see more investors cut their yen shorts.

This is certainly a USDJPY risk that is worth monitoring, but we still believe that real money flows could find 3% yield too attractive to ignore. Small business confidence is the only Japanese data scheduled for release this evening.

By Kathy Lien of BK Asset Management

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

DISCLOSURES