Forex Weekly Trading Forecast 03.11.2013
The US dollar extended its incredible performance this past week. The only drawback in taking advantage of this incredible drive…it contradicts most fundamental themes.
The Euro was one of the worst performing currencies this past week, only outpacing the lowly Japanese Yen by +0.45%, while shedding a modest -0.86% against the top Canadian Dollar, and -0.78% against the reinvigorated US Dollar.
The Japanese Yen tumbled to fresh lows as a surge in US Treasury Yields took the USDJPY to its highest since 2009.
The British Pound fell to fresh multi-year lows versus the US Dollar last week. The coming week promises much less in terms of foreseeable economic event risk, but recent GBP volatility may continue all the same as we trade near critical price levels.
Our neutral bias over the past two weeks has been well warranted with gold holding a tight range below key interim resistance at $1585.
The Australian Dollar looks likely to advance as ebbing RBA interest rate cut expectations open the door for returning support from swelling risk appetite.
The New Zealand Dollar fell slightly over the past week. Looking ahead, the top headlines traders will look to will be topped by the Reserve Bank of New Zealand rate decision and Monetary Policy Statement report on March 14.
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