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.

Free Trading Guides
EUR/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
GBP/USD
Mixed
USD/JPY
Mixed
Gold
Bullish
Oil - US Crude
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
Bitcoin
Bearish
More View more
Real Time News
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 96.91%, while traders in Germany 30 are at opposite extremes with 83.79%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/jYqUyArf3u
  • AUD/USD Technical Analysis: Aussie Dollar May Break Range Floor - https://www.dailyfx.com/forex/technical/home/analysis/aud-usd/2020/02/18/AUDUSD-Technical-Analysis-Aussie-Dollar-May-Break-Range-Floor.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #AUDUSD #technicalanalysis https://t.co/6aeywJkAkR
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.13% 🇨🇭CHF: 0.04% 🇬🇧GBP: -0.04% 🇨🇦CAD: -0.10% 🇳🇿NZD: -0.29% 🇦🇺AUD: -0.32% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/XfJ4dACKNd
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: Germany 30: -0.47% US 500: -0.49% Wall Street: -0.53% France 40: -0.55% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/bowwGbbxZe
  • Cash rate futures are pricing in about a 52% probability of an #RBA 25-bp rate cut at the June interest rate announcement -BBG $AUDUSD
  • The #Euro may have more room to fall versus its major peers such as the US Dollar, Japanese Yen and British Pound. What is the technical picture of $EURUSD, $EURJPY and $EURGBP - https://www.dailyfx.com/forex/technical/article/special_report/2020/02/18/Euro-Weakness-Risks-Accelerating-EURUSD-EURJPY-EURGBP.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/DyuPCusTCh
  • #NOK, #AUD and #NZD are expected to be the most-active #G10 FX versus #USD with one-week implied volatility at 7.15, 6.76 and 6.70 respectively [delayed] -BBG
  • Commodities Update: As of 03:00, these are your best and worst performers based on the London trading schedule: Silver: 0.64% Gold: 0.34% Oil - US Crude: -0.84% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/YvrO2r6JzE
  • Forex Update: As of 03:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: 0.17% 🇨🇭CHF: 0.04% 🇪🇺EUR: -0.03% 🇨🇦CAD: -0.13% 🇦🇺AUD: -0.36% 🇳🇿NZD: -0.37% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/3NzfCsQ13V
  • LIVE NOW! Senior Currency Strategist @IlyaSpivak discusses the technical and fundamental $AUDUSD outlook for the week ahead here - https://www.dailyfx.com/webinars/378612179?CHID=9&QPID=917720&utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
USD Index To Maintain Upward Trend, Australian Dollar Top In Place

USD Index To Maintain Upward Trend, Australian Dollar Top In Place

2011-12-09 16:56:00
David Song, Currency Strategist
Share:

DJ FXCM Dollar Index

Index

Last

High

Low

Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index

9878.94

9945.17

9867.15

-0.19

96.12%

USD_Index_To_Maintain_Upward_Trend_Australian_Dollar_Top_In_Place_body_ScreenShot030.png, USD Index To Maintain Upward Trend, Australian Dollar Top In Place

The Dow Jones-FXCM U.S. Dollar Index (Ticker: USDollar) is 0.15 percent lower from the open after moving 96 percent of its average true range, but we should see the greenback regain its footing as it maintains the upward trending chancel from the beginning of December. As the 30-minute relative strength index bounces back from a low of 33, we should see the reserve currency track higher throughout the North American session, and the index looks poised to push higher in the days ahead as it appears to have carved out a higher low this week. However, as market participation tends to thin ahead of the weekend, the USD looks poised to consolidate for the remainder of the day, and we should see the greenback extended the rebound from 3,786 next week as the heightening risk for contagion continues to bear down on investor confidence.

USD_Index_To_Maintain_Upward_Trend_Australian_Dollar_Top_In_Place_body_ScreenShot031.png, USD Index To Maintain Upward Trend, Australian Dollar Top In Place

As the USD struggles to push back above the 61.8 percent Fibonacci retracement around 9,947, the sideways price action may get carried into the following week, but we still expect to see a higher high in the dollar index as the outlook for 2012 turns increasingly bleak. The new fiscal pact drawn up at the EU Summit helped to prop up market sentiment, but the increased efforts to address the sovereign debt crisis raises the risk of seeing a major economic downturn in the euro-area as the governments operating under the fixed-exchange rate system are expected to further scale back fiscal policy. In turn, we may see the European periphery become increasingly reliant on monetary support, and the European Central Bank may face increased pressures to expand its nonstandard measures as the region faces record-high financing costs. However, as ECB President Mario Draghi continues to target the benchmark interest rate, we may see the Governing Council continue to move away from its asset purchase program, and we may see the central bank head push borrowing costs below 1.00 percent in order to stem the downside risks for growth and inflation. As the fundamental outlook for the euro-area turns increasingly bleak, market sentiment may deteriorate in the week ahead, and we may see a flight to safety as European policy makers struggle to restore investor confidence.

USD_Index_To_Maintain_Upward_Trend_Australian_Dollar_Top_In_Place_body_ScreenShot032.png, USD Index To Maintain Upward Trend, Australian Dollar Top In Place

The greenback weakened against all of its major counterparts, led by the 0.27 percent in the Australian dollar, but the rebound in the high-yielding currency is likely to be short-lived as the economic docket for the following week is expected to instill a weakened outlook for the isle-nation. A slowdown in private sector activity is likely to spark a bearish reaction in the AUD/USD, and we should see the selloff from 1.0379 gather pace in the days ahead as the pair carves out a lower top in December. As the exchange rate struggles to hold above the 23.6 percent Fib from the 2010 low to the 2011 high around 1.0350-70, we should see the pair give back the rebound from the end of November, and the aussie-dollar may come up against the 38.2 percent Fib around 0.9920-50 to test for near-term support.

--- Written by David Song, Currency Analyst

To contact David, e-mail dsong@dailyfx.com. Follow me on Twitter at @DavidJSong

To be added to David's e-mail distribution list, send an e-mail with subject line "Distribution List" to dsong@dailyfx.com.

Join us to discuss the outlook for the major currencies on the DailyFX Forums

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

DISCLOSURES

News & Analysis at your fingertips.