Session Wraps - Major Forex Headlines wrapped up by trading session

Author: Eamonn Sheridan

Forex news for Asia trading Monday 11 December 2017

Bitcoin futures - first day of trade!

Weekend

Some minor currency moves to open the week in Asia today, but many eyes were on the launch of Bitcoin futures. Volatility there didn't disappoint, on its first ever day of trading the new contract triggered a circuit breaker (two!) after rising 20%, pausing trade. At +10% on the session trading stopped for 2 minutes and for 5 minutes at +20%. This is Bitcoin, the exchange may need wider limits :-D.

While not comparable n scale, forex markets had a notable move on the NZD, it spiked on news of the appointment of a new RBNZ Governor

Why? I'd suggest it was an excuse to run short stops, but I'm sure there will be a better narrative in time ;-)

EUR/USD has gained a few points on the session but is little changed really. Cable too is up from very early lows but again, not too much changed . AUD/USD hasn't matched the NZD for its move, but is a up a few points nevertheless.

Overall a subdued beginning to the week for most of the forex. It will be a busy week, though, with the Federal Reserve FOMC meeting, and meetings also at the ECB, BoE and SNB coming up:

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Author: Adam Button
2

Forex news for New York trade on December 8, 2017

Markets:

  • Gold up $1 to $1248
  • WTI crude up $1.12 to $63.22
  • S&P 500 up 14.5 points to 2651
  • US 10-year yields up 1 bps to 2.38%
  • CHF leads, GBP lags

Nonfarm payrolls had something for everyone. The jobs numbers were strong but the wage numbers were soft. The initial reaction from the US dollar was down but it was tempered quickly.

USD/JPY dipped down to 113.15 from a three-week high of 113.55 but it later climbed all the way back.

It was  a different story in EUR/USD as the pair climbed to 1.1765 from 1.1735 and held onto the gains into the close.

Cable was hit by a 'sell the fact' trade on a Phase I Brexit deal reached earlier. The pair slid as low as 1.3356 from a high of 1.3520 with the low coming just before the London close. From there it rebounded to 1.3400.

USD/CAD was able to make a fresh high late in the day at 1.2880 after falling down to 1.2800 on the jobs report. The loonie continues to suffer the fallout from the BOC decision.

AUD/USD remained near a 6-month low at 0.7500. A brief rally to 0.7530 was sold back down to the figure.

Have a great weekend.


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Author: Mike Paterson
6

Forex news for the European morning trading session 8 Dec 2017

 
News:
Data:

There's all your headers.
P/A summary:
  • GBPUSD up to 1.3521 but then down to 1.3453 on the Brexit announcement on a buy rumour/sell fact basis. Back to 1.3515 then back down to 1.3460 then support at 1.3450 broken to post new lows
  • EURGBP had an early look below 0.8700 but found good demand and since been back to 0.8754
  • EURUSD still looking a little soggy and lows of 1.1730 posted. Large option expiries helping to cap
  • USDJPY felt the love early on to post 113.59 but capped albeit with minimal retreat
  • USDCHF has also kept its bid tones to post 0.9978 but also retreating a little lower
  • USDCAD down to 1.2835 as oil firms
  • AUDUSD on the back foot still but bids/demand at 0.7500 holding again
  • NZDUSD tightly bound
US data highlight ofc is the NFP report at 12.30 GMT

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Author: Greg Michalowski

Forex news for Asian-Pacific traders for December 8, 2017.

A snapshot of other markets shows:

  • Spot gold up $1.22 or 0.10% at $1248.50
  • WTI crude oil futures are down three cents or -0.4% at $56.66
  • Asian stocks are higher today: Japan's Nikkei 225 up 1.18%.  China's Shanghai index is higher by 0.21%.  Hong Kong's Hang Seng index is up 0.87%.  Australia's S&P/ASX index is up 0.27%
  • US yields are little changed in quiet trade. The two-year yield is at 1.806%, up 0.4 basis points.   The 10 year yield is at 2.3688%, up 0.5 basis points.
The big news for the day will not happen until the US releases their employment report at 8:30 AM ET/1330 GMT. The expectation is for Non-Farm Payroll is expected to rise by 195K vs 261K last month and the unemployment rate is expected to remain unchanged at a low 4.1%.  
As a result of the anticipation, the price action was somewhat muted in the Asian Pacific session.

Nevertheless, there was some decent data out of Japan and China.

Japan released the final for 3Q GDP and it was  higher than expected at 0.6% vs. 0.4%. The annualized reading was also much better at 2.5% vs 1.5% expectations.  The not so good news from the report was the consumer remains sidelined with private consumption down -0.5% and the deflator remains low at 0.1% (see details of the report here).  Despite the better growth number, the JPY weakened. In fact it was the weakest of the major currencies in trading today with declines against each of the majors (see chart below)



China reported good trade numbers with both exports and imports showing double digit gains (exports up 10.3% and imports up 15.6%).  The better data did sort of help the AUD and NZD try to pick itself off lows.  However, I cannot say the bearishness is totally complete for those currencies. 

For the NZDUSD, the pair did hold support at the 0.68159-19 area (the low stalled at 0.6821), and the pair is at 0.68345 currently.  However, the high did stall at the 0.6840 level.  We need to see more buying above that level going forward to solicit more buyers.

For the AUDUSD, the pair reached a low right above the natural support level of 0.7500 (low reached 0.7501) but could only get to 0.7516 on the rebound.  That level corresponded with the 200 bar MA on the 5- minute chart.  The price could not get above the 200 bar MA all day yesterday. Not being able to get above it so far today is not encouraging for the dip buyers.  
In other market developments:

  • What would be a day be without another new big figure handle change in bitcoin. The $17,000 level was broken in the Asian Pacific session (high reached $17,027.39). However, as I type, the price is trading at the lows for the day at $15,110. Moreover, the price has cracked below the 200 bar MA on the 5-minute chart (see chart below). That MA found early buyers yesterday, and buyers on the first test today.  Staying below going forward, will be more bearish for the cryptocurrency. 


  • Technically, the EURUSD fell further away (to the downside) from the 100 day MA after trading most of yesterday above and below the MA level. That 100 day MA is at 1.1797 (call it 1.1800), and through the employment report that MA will act as a key risk level for sellers/bears in the pair.  Stay below is more bearish.   The current price is trading at 1.1760. On the downside, the pair is approaching the 50% retracement of the move up from the November low at 1.17565. A lower trend line on the hourly chart below cuts across at 1.1738 (and moving lower by a pip or so an hour).   The 1.1711 was the August 2015 swing high (that old chestnut).  


  • UK PM Theresa May is heading to Brussels to present a solution for Ireland and the divorce settlement. If accepted, it paves the way for the next steps in the Brexit negotiations. That has the GBPUSD moving higher. The pair is getting close to the post-Brexit high from June 2016 at 1.3532. The price has moved above that level at the end of November and the beginning of December, without much momentum. A move above would be more bullish with a trend line at 1.3597 and the September high at 1.36547 the next targets.  

Thank you for your patience with me in Eamonn's absence.  Wishing those trading the US employment good fortune with your trading. For all others, wishing you and yours a fun and safe weekend.  

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