Session Wraps - Major Forex Headlines wrapped up by trading session

Author: Eamonn Sheridan

Forex news for Asia trading Wednesday 18 October 2017

Very minor wiggles for a few currencies today only with a stable day nearly across the board:

  • EUR/USD ticked up a few points
  • USD/JPY was basically stable
  • AUD/USD a few points higher (commodities in China traded a little stronger)
  • Cable is barely changed, as is USD/CHF
  • USD/CAD is a little lower, the news out of NAFTA talks is not too encouraging for Canada nor Mexico.
  • NZD/USD is a few points lower - still no announcement on government formation

Yuan, however, was a mover. As the National Party Congress got underway (President Xi gave a long opening address) CNY and CNH traded higher:

USD/CNH

Data and news flow was extremely light. A subdued leading index from Australia and a speech from BOJ board member Sakurai the highlights (see bullets above).

Still to come today, some biggies:

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Author: Greg Michalowski

Forex news for NY trading on October 17, 2017.

A snapshot of other markets is showing that:

  • Spot gold fell -$9.76 on the back of the higher USD
  • WTI crude oil was up $0.14 or 0.27% to 52.00. The high reached $52.25. The low extended to $51.21
  • The Dow traded 23K for the first time ever but closed just below at 22997 (up 40.48 points or 0.18%. The S&P closed up 0.07%. The Nasdaq fell 0.01% (call it unchanged).
  • 2 year 1.546%, up 0.8 bp
  • 5 year 1.9598%, up 1 bp
  • 10 year 2.301%, unchanged
  • 30 year 2.804%, down -1.8 bp
The US import prices rose by 0.7% for the month (est 0.6%) and the YoY was also higher at 2.7% (vs 2.6%).  I can't say the market roared off the news but the USDJPY did see some action to the upside. Later industrial production rose 0.3% (as expected), and capacity utilization came in at 76.0% vs 76.2% estimate.   The hurricanes ended up shaving 0.25% off the IP data.  NAHB housing market index came in better at 68 vs 64 estimate.  

In other news today Mexico and Canada rejected NAFTA proposals from the US. The hurt the CAD and MXN (recovered though).  

In Fedspeak today, Fed's Kaplan said that he is keeping an open mind about rate hikes and he is looking for inflation to reach and surpass the Fed's 2% target in the medium term.  Fed's Harker said he sees little slack in the jobs market.  

The dollar moved higher in the NY session but did lose some of its luster into the close. Nevertheless, it did end as the strongest of the major currencies. 

The GBP was the weakest. BOE's Ramsden and Tenreyro gave more cautious responses in their testimony and Carney did not hint of a November change. That pressured the GBP into the NY session.  In the NY session, the currency recovered a bit but it still remained at the bottom of the currency league table today (see the rankings below).


Looking at the technicals for the major currency pairs:

The EURUSD trended and stayed below its 100 bar MA on the 5 minute chart for most of the day, but in the NY afternoon, the pair moved above and sellers turned to buyers, forcing the pair up about 20-25 pips. There is overhead resistance in the new trading day at 1.17865 (200 hour MA)

The USDJPY based against its 100 hour MA earlier in the day at 112.12 area. The move higher took the price above the 200 hour MA (at 112.359 currently), but that break failed. The price rotated back down to the 100 hour MA in the NY afternoon and the at stalled the fall.   With support against the 100 hour MA holding twice, it will be a key support level, and barometer for a bullish or bearish bias in the new trading day.  Stay above is more bullish. Move below is more bearish. 

As mentioned the GBP was the big loser for the day, and spent most of the NY session trading below the 200 hour MA at 1.3196. The high price in the NY session extended to 1.3193. Stay below that MA keeps the sellers/bears in control in the new trading day.

The USDCAD did a lap in trading today. The pair first rallied - basing off the 200 hour MA in the Asian session at 1.2514 area. Later in the NY session - after peaking at 1.2590 - the price rotated all the way back to the 200 hour MA. The NY afternoon low reached 1.25175. We are closing near that level.  A move below the 200 hour MA at 1.2514 would turn the bias back to the downside for the pair.  

That is a review of the NY session and a look at some of the major pairs into the NY session.  

Good fortune with your trading and remember, don't dig yourself into a trading hole..... ; )


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Author: Mike Paterson
9

Forex news for the European morning trading session 17 Oct 2017

News:

Data:
A busy session for the pound with testimonies to lawmakers failing to impress the GBP bulls.

The grilling of the two newbies Ramsden and Tenreyro brought cautious responses understandably and with Carney giving no further nod to a November rate hike we've seen GBPUSD fall to 1.3198 from 1.3285 EURGBP up to 0.8907 from 0.8860, and GBPJPY down to 148.13 from 149.00 to name but three.
                                                            GBPJPY 15m
USDPY has been largely contained by the cross plays with USD demand generally negated by yen demand with EURUSD and EURJPY also on the back foot.

USDCAD has traded tightly 1.2530-50 while AUDUSD has drifted off from 0.7860 to 0.7840. USDCHF and EURCHF both steady around 0.9775 and 1.1500.

NZDUSD fell early on from 0.7180 to 0.7160 on lack of decision from Peters but recovered as we wait on GDT auction result around 13.00 GMT

Here's your data still to come:

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Author: Eamonn Sheridan
1

Forex news for Asia trading Tuesday 17 October 2017

EUR/USD traded below its overnight (Europe/UK/US) low to circa 1.1775 but didn't follow through lower (as of posting). There was a little concern of North Korea, with the country's deputy UN Ambassador warning on a nuclear war. Emphasis, though, on 'little' concern, as USD/JPY didn't do too much, only dribbling a few points lower from its Tokyo morning high.

NZD/USD was a mover, it was marked higher on an upside surprise for Q3 CPI (headline inflation at least - later numbers for core inflation from the RBNZ were more subdued) only to slip back toward session lows in the hours following.

AUD/USD was on the soft side for most of the session in a tiny range and has since come back to me little net changed on the session at all as I update.

Cable is a few (hardly any) points to the better on the session also.

Gold is little changed, as is oil. USD/CAD is a few points higher.

Reserve Bank of Australia October meeting minutes contained little to surprise, with familiar themes touched again by the bank (see bullets above).

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