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
GBP/USD
Bullish
USD/JPY
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
Mixed
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Real Time News
  • Central bank independence has several advantages and disadvantages. Find out what they are in-depth with @MartinSEssex here: https://t.co/wVFXbbTxf1 https://t.co/qAYQhmOVUf
  • What is #forex risk management? As a trader why is it important to know the basics of it? https://t.co/M9R46rmPUK #tradingstyle https://t.co/C34oD6U8in
  • EUR/GBP has plummeted to a 19-month low while GBP/CAD and GBP/USD are re-testing critical resistance channels. $GBPAUD has reached a three-year high but will upside momentum last? Get your market update from @ZabelinDimitri here:https://t.co/TqzxCRSnjN https://t.co/voYGKUwE8g
  • RT @ReformedBroker: “The digital yuan China is planning is in fact a complete inversion of the bitcoin model. All of the data created would…
  • The $CAD rose on a hopeful tone from the Bank of Canada, but the largest risk to the central bank’s outlook remains unresolved. NZD/CAD has rallied. Will AUD/CAD follow as CAD/JPY sinks? Get your market update from @ddubrovskyFX here: https://t.co/AairskIHA5 https://t.co/f53ZzloW4u
  • The latest UK General Election opinion polls continue to show the Conservative Party holding a strong lead over Labour and point to Boris Johnson winning a working majority in Parliament. Get your $GBPUSD market update from @nickcawley1 here: https://t.co/qF04EOUWkI https://t.co/LNl4bXbnpp
  • Recent polls have put Conservatives ahead of Labour and given a boost to $GBP. Get your #Brexit update from @ZabelinDimitri here: https://t.co/l2n53C0cYY https://t.co/oTWfXkaDDt
  • What are the truths and myths of #forex trading? Find out from @DailyFX analysts here: https://t.co/uF75VPzstr #FOMOintrading https://t.co/xeromAGqqx
  • Macro data from around the world have long attested to the urgent need for a trade settlement between the US and China. Increasingly the corporate numbers are saying the same. Get your market update from @DavidCottleFX here:https://t.co/Qon7QUO80c https://t.co/rCOG78QQ2M
  • #Gold prices may fall while the US Dollar gains even as economic policies championed by the Trump administration invite inflation. Get your market update from @IlyaSpivak here: https://t.co/4lHhHsby56 $XAUUSD https://t.co/JmZxckVHdS
EUR/USD Downside Targets in Focus- AUD/USD Eyes Key Fib Retracement

EUR/USD Downside Targets in Focus- AUD/USD Eyes Key Fib Retracement

2014-09-22 15:50:00
David Song, Currency Strategist
Share:

Talking Points:

- EUR/USD Slips to Fresh Monthly Low (1.2820) as ECB President Draghi Reiterates Dovish Tone

- AUD/USD Eyes 78.6% Retracement of 2014 Range Ahead of China PMI, RBA Rhetoric

- Bullish USDOLLAR Setup Remains in Play Even as Fed’s William Dudley Favors 2015 Rate Hike

For more updates, sign up for David's e-mail distribution list.

EUR/USD

EUR/USD Downside Targets in Focus- AUD/USD Eyes Key Fib Retracement
  • EUR/USD dips to a fresh monthly low of 1.2820 as European Central Bank (ECB) President Mario Draghi sees further expansion in balance sheet and remains prepared to take more action as needed.
  • Bearish outlook remains favored as Governing Council plans to provide a more detailed asset-backed securities (ABS) purchase plan at the October 2 meeting; next key region of interest comes in around 1.2710 (78.6% expansion) to 1.2725 (23.6% retracement).
  • DailyFX Speculative Sentiment Index (SSI) continues to favor a further decline in the EUR/USD as there appears to be a further buildup of the net-long position, with the ratio currently standing at +1.53.

AUD/USD

EUR/USD Downside Targets in Focus- AUD/USD Eyes Key Fib Retracement
  • Downside targets remain favored for AUD/USD as the Relative Strength Index (RSI) retains bearish momentum & dips back into oversold territory.
  • Next key downside objective is 88.30-40, 78.6% Fibonacci retracement of the 2014 range- break & close below raises risk of seeing a full retracement of the rebound from January (0.8659).
  • China’s HSBC Purchasing Manager Index (PMI) may heighten the bearish sentiment surrounding the Australian dollar should the data print dampen the outlook for global trade.

Join DailyFX on Demand for Real-Time SSI Updates Across the Majors!

Read More:

Price & Time: Euro Volume & Sentiment Becoming Worrisome

Precious Metals Pummeled, Crude and Copper Slump Ahead Of China Data

USDOLLAR(Ticker: USDollar):

Index

Last

High

Low

Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index

10945.64

10956.01

10913.18

0.01

88.21%

EUR/USD Downside Targets in Focus- AUD/USD Eyes Key Fib RetracementEUR/USD Downside Targets in Focus- AUD/USD Eyes Key Fib Retracement

Chart - Created Using FXCM Marketscope 2.0

  • Dow Jones-FXCM U.S. Dollar Index presses to a fresh yearly high of 10,956 despite the slew of dismal data, while New York Fed President William Dudley favors rate hike in 2015.
  • Despite the key speeches from the group of central bank doves, the technical outlook continues to favor the topside as long as price & RSI retain the bullish trend.
  • Will be watching 10,989 (50.0% expansion) to 11,009 (July 2013 high) ahead of the Fed’s next policy meeting on August 29 amid the pickup in interest rate expectations.

Join DailyFX on Demand for Real-Time SSI Updates!

Release

GMT

Expected

Actual

Chicago Fed National Activity Index (AUG)

12:30

0.33

-0.21

Existing Home Sales (AUG)

14:00

5.20M

5.05M

Existing Home Sales (MoM) (AUG)

14:00

1.0%

-1.8%

Fed's William Dudley Speaks on U.S. Economy

14:05

Fed's Narayana Kocherlakota Speaks on Monetary Policy

23:30

Click Here for the DailyFX Calendar

--- 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, please follow this link.

Trade Alongsidethe DailyFX Team on DailyFX on Demand

Looking to use the DailyFX Trade Signals LIVE? Check out Mirror Trader.

New to FX? Watch this Video

Join us to discuss the outlook for the major currencies on the DailyFXForums

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

DISCLOSURES

News & Analysis at your fingertips.