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
Bullish
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
Mixed
Wall Street
Mixed
Gold
Bullish
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
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
USD/JPY
Mixed
More View more
Real Time News
  • Join @PaulRobinsonFX 's #webinar at 5:30 AM ET/9:30 AM GMT to gain insight on indices and commodities for the active trader. Register here: https://t.co/gghsFsZYlx https://t.co/vGl9cMVz7j
  • EUR Eurozone Final March Manufacturing PMI Actual: 44.5 Preliminary: 44.8
  • #Bitcoin prices may see a pickup in volatility ahead of the 2020 halving as the #coronavirus pandemic threatens to disrupt cross-continental $BTC mining operations. Get your market update from @ZabelinDimitri here: https://t.co/BoH24MVf4P https://t.co/15Kz57FDIh
  • EUR Germany Final Manufacturing PMI Actual: 45.4 Prelim: 45.7
  • EUR France Final March Manufacturing PMI Actual: 43.2 Prelim: 42.9
  • EUR Italy March Manufacturing PMI Actual: 40.3 Forecast: 41.0 Previous: 48.7
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 95.68%, while traders in US 500 are at opposite extremes with 69.30%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/HdeJ9Ui7uS
  • 🇨🇭 CHF PMI Manufacturing (MAR), Actual: 43.7 Expected: 42.2 Previous: 49.5 https://www.dailyfx.com/economic-calendar#2020-04-01
  • Commodities Update: As of 07:00, these are your best and worst performers based on the London trading schedule: Gold: 1.13% Silver: 0.27% Oil - US Crude: -0.82% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/s2nDZlZiUv
  • FTSE 350 Banks hammered lower again after dividend cuts... chart via @IGcom https://t.co/nRUaW6cu4L
UK Data Weighs on Sterling Ahead of BoE- US Dollar Rebounds

UK Data Weighs on Sterling Ahead of BoE- US Dollar Rebounds

2012-01-11 15:55:00
Michael Boutros, Strategist
Share:

Daily Winners and Losers

UK_Data_Weighs_on_Sterling_Ahead_of_BoE-_US_Dollar_Rebounds_body_Picture_2.png, UK Data Weighs on Sterling Ahead of BoE- US Dollar ReboundsUK_Data_Weighs_on_Sterling_Ahead_of_BoE-_US_Dollar_Rebounds_body_Picture_3.png, UK Data Weighs on Sterling Ahead of BoE- US Dollar ReboundsUK_Data_Weighs_on_Sterling_Ahead_of_BoE-_US_Dollar_Rebounds_body_Picture_4.png, UK Data Weighs on Sterling Ahead of BoE- US Dollar Rebounds

The New Zealand dollar is the top performer against a stronger greenback in early US trade with the pair posting a fractional gain of just 0.03%. The kiwi has continued to hold its ground above the 23.6% short-term Fibonacci extension taken from the January 3rd and 10th crests at 0.7930. The NZD/USD has remained within the confines of an ascending channel formation dating back to December 15th with the volatility in the high yielder lagging all the majors, moving just 47% of its daily average true range. A break below interim support eyes subsequent targets at the 38.2% extension at 0.7910 and the 61.8% extension at 0.7880. A move below this level risks further losses for the kiwi with such a scenario eyeing floors at the 76.4% extension at 0.7860 and 0.7840. Topside resistance holds at 0.7960 backed by the 0.80-figure and channel resistance, currently around the 0.8020-level. Overnight traders will be eyeing data out of New Zealand with ANZ commodity prices on tap.

Key Levels/Indicators

Level/Indicator

Level

200-Day SMA

0.8030

100-Day SMA

0.7896

50-Day SMA

0.7730

2011 NZD High

0.8841

Upcoming Events

Date

GMT

Release

Expected

Previous

1/11

00:00

ANZ Commodity Price

-

-1.0 %

UK_Data_Weighs_on_Sterling_Ahead_of_BoE-_US_Dollar_Rebounds_body_Picture_5.png, UK Data Weighs on Sterling Ahead of BoE- US Dollar ReboundsUK_Data_Weighs_on_Sterling_Ahead_of_BoE-_US_Dollar_Rebounds_body_Picture_6.png, UK Data Weighs on Sterling Ahead of BoE- US Dollar Rebounds

The British pound is the weakest performer against the dollar with the pair off by more than 0.74% an hour into US trade. The pair broke below a short-term ascending channel formation in afterhours trading yesterday as the sterling pared some of the day’s gains. Weaker than expected November trade balance figures have continues to weigh heavily on the pound after the report printed a total trade deficit of £2566 million, missing calls for a deficit of £2400 million. Traders remain reluctant to hold pounds ahead of tomorrows jam packed economic docket which is highlighted by the BoE and ECB interest rate decisions. Also on the docket are key industrial and manufacturing production figures and the December GDP estimate.

The sterling broke below key support at the 61.8% Fibonacci extension taken from the December 21st and January 3rd crests at 1.5413 before tagging interim support at the 76.4% extension at 1.5350. A likely break here eyes subsequent floors at 1.5330, the 1.53-figure, and the 100% extension at 1.5255. Interim topside resistance now stands at 1.5375 backed by 1.5413 and 1.5440. Traders will be closely eying any remarks made by central bank officials as data out of the UK continues to threaten the recovery. Look for the sterling to come under pressure should the MPC decide to increase the size of the £275B asset purchase program. Interest rates are widely expected to remain unchanged at 0.50%.

Key Levels/Indicators

Level/Indicator

Level

200-Day SMA

1.6015

100-Day SMA

1.5741

50-Day SMA

1.5650

2011 GBP High

1.6745

Upcoming Events

Date

GMT

Release

Expected

Previous

1/12

09:30

Industrial Production (MoM)

-0.10%

-0.70%

1/12

09:30

Industrial Production (YoY)

-2.20%

-1.70%

1/12

09:30

Manufacturing Production (MoM)

-0.20%

-0.70%

1/12

09:30

Manufacturing Production (YoY)

-0.50%

0.30%

1/12

12:00

GBP BOE Asset Purchase Target

275B

275B

1/12

12:00

GBP Bank of England Rate Decision

0.50%

0.50%

1/12

15:00

GBP NIESR Gross Domestic Product Estimate

-

0.30%

---Written by Michael Boutros, Currency Analyst with DailyFX.com

To contact Michael email mboutros@dailyfx.comor follow him on Twitter @MBForex.

To be added to Michael’s email distribution list, send an email with subject line “Distribution List” to mboutros@dailyfx.com

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

DISCLOSURES

News & Analysis at your fingertips.