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
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
Wall Street
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
Gold
Mixed
GBP/USD
Bearish
USD/JPY
Bearish
More View more
Real Time News
  • What suits your style of trading stocks or commodities? Find out what are the differences in these two markets here: https://t.co/BnA07cMV0s https://t.co/QqlZ2dQgVv
  • Forex quotes reflect the price of different currencies at any point in time. Since a trader’s profit or loss is determined by movements in price, it is essential to develop a sound understanding of how to read currency pairs. Learn how to read quotes here: https://t.co/CNtqrKWDBY https://t.co/lvIUu5FHoq
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/bpKdIqGxsn
  • Looking for a new way to trade reversals? One of the most used reversal candle patterns is known as the Harami. Like most candlestick formation patterns, the Harami tells a story about sentiment in the market. Get better with trading reversals here: https://t.co/rfwUWJfbz9 https://t.co/jmcAIW4w5k
  • It’s important for traders to be familiar with FX spreads as they are the primary cost of trading currencies. Understand a pair's spread here: https://t.co/zEEUHZBx7g https://t.co/M9isuvnzqF
  • The British Pound is giving back some of its multi-month gains with some pairs testing notable support despite a positive fundamental backdrop. Get your market update from @nickcawley1 here: https://t.co/6Ct5R0H41F https://t.co/c4rXmMjMrv
  • Dealing with the fear of missing out – or FOMO – is a highly valuable skill for traders. Not only can FOMO have a negative emotional impact, it can cloud judgment and overshadow logic. Learn how you can control FOMO in your trading here: https://t.co/lgDf5cVYOn https://t.co/4dhCP5pnxM
  • Gold is facing the neckline of a Double Bottom Pattern after bouncing off a confirmed longer-term trendline. Is a bullish reversal in order? Get your market update from @FxWestwater here: https://t.co/kLXZewWBMd https://t.co/w1Nu0z569m
  • Central banks often deem it necessary to intervene in the foreign exchange market to protect the value of their national currency. Learn how central bank intervention can impact your trading here: https://t.co/8G8mUX4so6 https://t.co/Gn41XsGktg
  • Rollover is the interest paid or earned for holding a currency spot position overnight. Learn how to earn rollover interest on your open positions here: https://t.co/SRsG8CxjEn https://t.co/2AR1qgx0tz
Risk Declines in Pre-Asia Despite Some Greek Progress, Central Banks Weigh

Risk Declines in Pre-Asia Despite Some Greek Progress, Central Banks Weigh

David Liu, Technical Strategist

Weekend Developments

  • Greek PM Papademos, leaders agree on 2012 budget
  • 2012 spending cuts expected to be around 1.5% of GDP
  • Leaders will meet later this week on bank recapitalizations, pension viability
  • Opposition leader Samaras: will not permit more austerity leading to recession

--

With the private sector agreement between banks and the Greek government still in the balance, the Greek government made some progress this weekend on their budget for 2012, further opening the door for the release of the next tranche of bailout funds. Although expectations were for leaders on both sides to agree on both a budget and debt agreement this weekend, official reports state that negotiations on Greek sovereigns and other parts of this year’s budget will continue into this week.

Risk correlated currencies saw early pressure this morning as central bank rate decisions and commentary highlight this week’s economic calendar. Australia’s central bank, the Reserve Bank of Australia, is expected to cut rates for the fourth time consecutively since October 2011, lowering the cash target by 25 basis points to 4.00%. Even though 4Q 2011 core inflation was higher than expected, continued uncertainties from the European and Asian markets are expected to weigh against a too-tight monetary policy.

Weekend_02052012-Greek_Budget_Deal_Central_Banks_body_Picture_1.png, Risk Declines in Pre-Asia Despite Some Greek Progress, Central Banks Weigh

The Bank of England is also expected to increase its quantitative easing purchases from a target of GBP 275 billion to GBP 325 billion per month, with Governor Mervyn King previously citing continued weakness in the local economy. The European Central Bank is expected to hold rates steady at 1.00%, although further commentary from President Mario Draghi is expected to drive the Euro.

Date

GMT

CCY

Event

EXP

PREV

02/07

3:30

AUD

RBA Cash Target

4.00%

4.25%

02/09

12:00

GBP

Bank of England Rates

0.50%

0.50%

02/09

12:00

GBP

Bank of England Asset Purchase Target

325B

275B

02/09

12:45

EUR

ECB Announces Benchmark Rate

1.00%

1.00%

At the time of writing, early illiquid markets are trending towards risk aversion, with the Australian dollar losing around 0.400% against the US dollar, and the Euro down about 0.350% against the buck. The Japanese yen is currently the only gainer, moderately stronger by 0.040% against the dollar.

Weekend_02052012-Greek_Budget_Deal_Central_Banks_body_Picture_2.png, Risk Declines in Pre-Asia Despite Some Greek Progress, Central Banks Weigh

-- By David Liu, DailyFX Research

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

DISCLOSURES