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
GBP/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
More View more
Real Time News
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHHGbZ https://t.co/nAoZXAZFuD
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EST on DailyFX! https://t.co/lxd5fZnn4H
  • Bitcoin ended a 10 consecutive day advance with yesterday's bearish close - breaking pace only after it overtook the 100-day moving average. That 10-day climb matches the longest bull charge with only two other examples. $BTCUSD https://t.co/G5UdX96mn9
  • Recessions can devastate the economy and disrupt the fortunes of individuals, businesses, and investors. But economic decline in the business cycle is inevitable, and your trading can be defined by how you respond to crisis. learn how to prepare here: https://t.co/e4CnobJCss https://t.co/9t94CbyQEi
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Find out about the recent history of ISM data, how to track it, and how to trade its release here: https://t.co/MZtBh88nOv https://t.co/LB749nN0K4
  • The continuity seen across these volatility cycles is a good thing. Historical precedence offer a blueprint for identifying conditions supportive for a vol-event to occur, and how they may unfold. Deepen your knowledge of historical volatility here: https://t.co/vg7w10la3j https://t.co/7JZu61F0OW
  • Tech stocks pulled back from record territory after Amazon posted tepid Q3 guidance. Get your weekly equities forecast from @margaretyjy here: https://t.co/kpYlD2ryue https://t.co/pXDztqY8PQ
  • 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/LQS1xMPSVc
  • When it comes to buying and selling forex, traders have unique styles and approaches. Learn about buying and selling forex here: https://t.co/D8DXSAdpqC https://t.co/WmRkOUGwlq
  • Recent price action in the US Dollar Index (DXY) casts a bearish outlook for the Greenback as it extends the series of lower highs and lows from earlier this week. Get your weekly USD technical forecast from @DavidJSong here: https://t.co/aQVzoACWEp https://t.co/TBFiTrur0P
Forex: US Dollar Losses May Prove Short-Lived Despite Resilient ISM Report

Forex: US Dollar Losses May Prove Short-Lived Despite Resilient ISM Report

David de Ferranti, Currency Analyst

TAKEAWAY: November’s US ISM data may further a pickup in risk appetite as expectations call for only minor moderation after Hurricane Sandy, but ‘risk-on’ moves remain questionable with key event risk looming.

While the upcoming US ISM data may show a degree of resilience in the US economy following super-storm that Sandy, ominous headwinds remain and may limit the potential for 'risk-on' moves. The November manufacturing figure is set to cross the wires at 15:00 GMT, with the consensus view appointing to a decline to 51.5 from October’s reading of 51.7. The result would still indicate expansion, but at a slightly slower pace.

Better-than-expected Chinese manufacturing data drove increased risk appetite overnight, denting demand for the safe-haven US Dollar. Greece’s move to begin a debt buyback that paves the way for access to further bailout funding likewise helped. However, forex traders are still all-too-wary of the many question marks surrounding the Eurozone debt crisis and the US ‘fiscal cliff’ debate. As policymakers on both sides of the Atlantic continue to deliberate, lingering uncertainty in markets may swiftly renew safe-haven demand for the US Dollar, capping any additional post-ISM weakness.

Charts

The Dow Jones FXCM US Dollar Index is testing below support at the bottom of a rising trend channel, a barrier reinforced by the 38.2% Fibonacci retracement level of 9,962. A daily close below support is needed to confirm the likelihood of a further selloff ahead.

US_Dollar_Losses_May_Prove_Short-Lived_Despite_Resilient_ISM_Report_body_1203.jpg, Forex: US Dollar Losses May Prove Short-Lived Despite Resilient ISM Report

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

DISCLOSURES