Skip to Content
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.

Free Trading Guides
Please try again

Live Webinar Events


Economic Calendar Events


Notify me about

Live Webinar Events
Economic Calendar Events






More View More
Asia AM Digest: Euro Pressured as ECB Meeting Looms Ahead

Asia AM Digest: Euro Pressured as ECB Meeting Looms Ahead

Research, Research Team


Get the Asia AM Digest every day before Tokyo equity markets open sign up here !

Most major currencies were little-changed amid a lull in top-tier economic news flow. The Euro was alone standout, sinking against all of its major counterparts. The drop may reflect prepositioning ahead of a much-anticipated ECB policy announcement later in the week that is expected to bring clarity on the fate of the central bank’s QE asset purchase program.

A quiet economic data docket in Asia Pacific trading hours offers little besides Japanese manufacturing PMI data. The outcome may not inspire a strong response from the Yen considering its limited implications for the direction of BOJ monetary policy, especially after Prime Minister Abe’s triumph in a snap election held over the weekend.

DailyFX Economic Calendar: Asia Pacific (all times in GMT)

DailyFX Webinar CalendarCLICK HERE to register

IG Client Sentiment Index Chart of the Day: NZD/USD

CLICK HERE to learn more about the IG Client Sentiment Index

Retail trader data shows 61.7% of traders are net-long NZD/USD, with the ratio of traders long to short at 1.61 to 1. The number of traders net-long is 10.8% higher than yesterday and 51.6% higher from last week, while the number of traders net-short is 5.7% higher than yesterday and 6.1% higher from last week.

We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests NZD/USD prices may continue to fall. Traders are further net-long than yesterday and last week, and the combination of current sentiment and recent changes gives us a stronger NZD/USD-bearish contrarian trading bias.

Five Things Traders are Reading

  1. FX Week Ahead: UK & US GDP, BOC & ECB Meetings Ahead by Christopher Vecchio, CFA, Sr. Currency Strategist
  2. AUD/USD Under Pressure as USD Strength Continues by James Stanley, Currency Strategist
  3. Weekly Technical Outlook: USD Turn or Burn at Key Resistance by Michael Boutros, Currency Strategist
  4. Oil Flirts With Resistance as US Output Falls, OPEC Looks at All Options by David Song, Currency Analyst
  5. A Burden Removed Looks Set To Help Drive USD/JPY Higher by Tyler Yell, CMT

To get the Asia AM Digest every day before the Tokyo cash equity open, sign up here

To get the US AM Digest every day before the US cash equity open, sign up here

To get both reports daily, sign up here

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