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
EUR/USD
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
Oil - US Crude
Bullish
Wall Street
Bearish
Gold
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
GBP/USD
Bearish
USD/JPY
Mixed
More View more
Real Time News
  • 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/FqAsp91Gia
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/cKOUmtj7Dj
  • GDP (Gross Domestic Product) economic data is deemed highly significant in the forex market. GDP figures are used as an indicator by fundamentalists to gauge the overall health and potential growth of a country. Learn use GDP data to your advantage here: https://t.co/Yl9vM7kO6a https://t.co/TnL91f7sl7
  • Human error in the forex market is common and often leads to familiar trading mistakes. These trading mistakes crop up particularly with novice traders on a regular basis. Learn about the top ten trading mistakes and how you can avoid them here: https://t.co/i8E2AXtzF3 https://t.co/cDcjl3Ue09
  • Consolidation or bull flag? A bull flag is a continuation pattern that occurs as a brief pause in the trend following a strong price move higher. Learn how to better spot these formations here: https://t.co/yOEvLjKnct https://t.co/KWOX5wSipe
  • What is your forex trading style? Take the quiz and find out: https://t.co/YY3ePTpzSI https://t.co/cwSWCpKtaj
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/zu5hMovbz6
  • Knowing how to accurately value a stock enables traders to identify and take advantage of opportunities in the stock market. Find out the difference between a stock's market and intrinsic value, and the importance of the two here: https://t.co/QszmdZFxlk https://t.co/QMKyTBOKNG
  • Currency exchange rates are impacted by several factors. Are different world leaders a contributing factor? Find out here: https://t.co/4jsORznRTE https://t.co/aRkGoNvj6D
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9Flsqcxo9 https://t.co/ltVTNO2sjT
U.S. Dollar Gains as December ADP Employment Change Hits Record

U.S. Dollar Gains as December ADP Employment Change Hits Record

Trang Nguyen,

THE TAKEAWAY: U.S. ADP employment change hit record in December > More job creations in all sectors > U.S. dollar gains

Job creation in the private sector hits the record level in December, a positive sign that U.S. labor market will continue to improve in year 2012. The monthly ADP National Employment report issued today showed that U.S. companies hired 325 thousand workers more in December after adding 204 thousand workers in November and 130 thousand in October. The print nearly doubles a median forecast from Bloomberg survey as thirty-eight economists called for the gain of merely 178 thousand, with the lowest projection of 125K and the highest estimate of 230K. November’s figure was revised downward to a gain of 204K thousand from 206 thousand. As the ADP employment change is considered a precursor to the non-farm payrolls number, a record number today raised hope that non-farm payrolls reading released this Friday might beat expectations as well.

U.S. Monthly ADP Employment Change: June 2010 to Present

010512_USD_ADP_Employment_Change_December_body_x0000_i1026.png, U.S. Dollar Gains as December ADP Employment Change Hits Record

Prepared by Trang Nguyen

Almost private firms reported significant gains in their payrolls in the last month of year 2011, led by service-producing sector. Service producer generated 273 thousand jobs in the month, following 176 gain in November and 139 increase in October. Also, employment in both manufacturing and good-producing sectors grew considerably in December. Factories added 22 thousand jobs, marking the second month gain in five. Increase in hiring in manufacturing was consistent with rising order in November. Besides, good producer hired 52 thousand employees more in December, double the number added in the previous month. Regarding to size-based companies, small firms registered the biggest increase of 148 thousand new payrolls while medium firms reported a somewhat lesser number of 140 thousand. Large firms created 37 thousand jobs in the month compared to 11 thousand added in November.

GBP/USD 1-minute Chart: January 5, 2012

010512_USD_ADP_Employment_Change_December_body_Picture_1.png, U.S. Dollar Gains as December ADP Employment Change Hits Record

Charts created using Strategy Trader– Prepared by Trang Nguyen

The U.S. dollar strengthens versus most of its major peers for the second day amid a surge of risk aversion. The greenback immediately pared gains versus risk-correlated currencies when the ADP employment change printed much better than estimated. As can be seen from the 1-minute USD/CAD chart above, the currency pair dropped approximately 30 pips from 1.0170 to 1.0140. However, the decline was just short-lived as the greenback rapidly resumed gain after thirty minutes. Investors now are closely watching nonfarm payrolls data and unemployment rate released tomorrow. Unemployment rate for the first time falls to 8.7 percent in November after hovering around 9 percent level for months. Economists predicted a gain of 175 thousand nonfarm payrolls added in December that would drive unemployment rate higher to 8.7 percent. Regardless, market participants are awaiting a big surprise tomorrow following the shocked ADP Employment change figure today.

--- Written by Trang Nguyen, DailyFX Research Team for DailyFX.com

To contact Trang, email tnguyen@dailyfx.com

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

DISCLOSURES