Alan’s Forex Blog

Forex Daily Technical Report Markets Cautiously Mixed, Dollar Recovers ahead of FOMC The Forex markets turn mixed as the highly anticipated FOMC rate decision is approaching. While interest rate futures are pricing in a sure rate cut on Wednesday, likely to be 25bps, WSJ Fed watcher Greg Ip thought it’s not as sure as the market thinks. Ip said that the decision will be a close call and Fed’s discussion will center around a 25bps cut or not cut at all. The primary reason is that many of the

The Forex markets turn mixed as the highly anticipated FOMC rate decision is approaching. While interest rate futures are pricing…

Forex Mid-Day Technical Report Dollar Recovers Mildly from Record Low, Yen Weakens Dollar recovers mildly after breaking to new record low against Euro earlier today and is now struggling around 1.44 level. While dollar remains generally weak, the Japanese yen is even weaker, partly based on its low yield status, and partly due to resumed carry trade activies on strong rally in global stock markets. No important economic data is scheduled in the US session today. Market will continue to be

Forex Daily Technical Report The Trend Continues, EUR/USD Took out 1.44 The trend continues. Dollar extends weakness across the board on expectation for a 25bps cut in the federal funds rate on Wed, as well as concern of another around of weak growth data that could trigger further policy easing from the Fed. EUR/USD took out 1.44 level and reaches new record high of 1.4425. Canadian dollar makes another 33 year high against greenback after oil prices made a third record high in a row today on

Forex Weekly Review and Outlook Dollar Made Multiple Lows ahead of a Huge Week Dollar weakened to new record low against Euro last week as market’s focus gradually turned back from risk aversion to interest rates. With help of record oil and gold prices, the buck also dropped to new 33 year low against the Canadian dollar as well new 23 year low against Aussie. In addition to FOMC rate decision, Q3 GDP, Non-Farm Payroll will also be featured this week. After all, it will be a huge week for the

Forex Mid-Day Technical Report Dollar Hit Lows against EUR, CAD and AUD Dollar extends weakness again today on the back of expectation for further rate cut from Fed next week. Surging commodity prices also add further pressure on the greenback. EUR/USD continues to make new record high and is now heading to 1.44 level. AUD/USD is boosted by rising gold price and expectation of rate hike from RBA in Nov and make new 23 year high above 0.91 level. Canadian, also ride on strength in oil price

Forex Daily Technical Report Euro Pressing Record High, Aussie Surges The Aussie steals the show today, rising to new 23 year high of 0.9117 against dollar on expectation of another rate hike from RBA on Nov 6-7. Aussie is additionally supported by strength in gold price that surged to new 28 years high of $772.90 an ounce. On the other hand, even though crude oil rose to record above $91 a barrel, Canadian dollar is still limited by yesterday’s 33 year high of 0.9612 against dollar on deeply

Forex Mid-Day Technical Report Dollar Weakens again after Disappointing Data Dollar extends weakness in early US session after another round of disappointing data. Durable goods orders fell for a second month by -1.7% in Sep, much worse than expectation of 1.5% rise. Prior month’s contraction was also revised from -4.9% to -5.3%. Jobless claims dipped mildly but came in much worse than expected at 331k. New home sales recovered to 0.77M in Sep but that was still below expectation of 0.78m and