FOREXYARD: Forex News Blog | |
| US and Canadian Data Eyed but Events in Europe Dominate Posted: 10 Nov 2011 03:16 AM PST
A rebound in Italian bond prices has helped European equities recover some of yesterday's losses. The EUR has also retraced some of its declines but the short term move may have only offered traders better prices at which to reenter short. This afternoon will bring trade balance data from both the US and Canada while events in Europe continue to dominate the headlines. A successful Italian debt auction has helped equities and the EUR in the aftermath of yesterday's declines but all is not well in Italy. The fiscally strapped nation paid an EMU high yield for 12-month Treasury bills. Also the 10-year Italian BTP traded higher this morning with the yield falling to 6.94%, a sign bond markets remain concerned over Italian finances. The EUR/USD has moved higher to 1.3625, the 38% Fibonacci retracement level of yesterday and today's move (1.3858 to 1.3483). The pair has once again turned lower from here. This retracement may have offered some traders better levels at which to reenter the downtrend. Support is at today's low of 1.3483 and the 100-week moving average comes in at 1.3310. Resistance is higher at 1.3680 from the November 7th low. This afternoon the BoE will announce its interest rate and Asset Purchase Facility. No changes are expected from the BoE. The US and Canada will release their trade balance figures for September. There are no expected shocks to come from the reports as markets continue to focus on events in Europe. The USD/CAD has rallied on the back of USD strength. The pair failed to breach the 1.0263 resistance from October 18th but the MACD indicator is turning positive and a test of the 1.0656 high is possible. Read more forex trading news on our forex blog. |
| Posted: 10 Nov 2011 12:05 AM PST
The EUR is down 3.5% versus the USD since Tuesday's high. This morning the EUR/USD briefly tested 1.35. The big round number is a key psychological level, but trying to pick a bottom in the latest EUR slide is like trying to catch a falling knife. A push below the 1.3500 level was brief, though it may be too early to call the EUR/USD oversold. Short term technical indicators continue to move lower and there may be more room for the pair to fall. There is only modest support on the way down to the October low of 1.3145 and the weekly chart may hold the clues. Should the 1.3500 level fail to hold, the 100-week moving average comes in at 1.3310. There is also potential support from a rising trend line off of the June 2010 and October 2011 lows which is found at 1.3290. Should the EUR/USD attempt to form a base, additional selling pressure may be seen at 1.3600. Read more forex trading news on our forex blog. |
| You are subscribed to email updates from Forex Trading Education : Forex Trading Blog by FOREXYARD To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google Inc., 20 West Kinzie, Chicago IL USA 60610 | |
No comments:
Post a Comment