Forex Market News:
- Australian regulator extends short selling ban.
- European banks facing major funding shortfall.
- Japanese capital spending was worse than forecast coming in -17.3% Vs -15.6% and -13.0% previously.
- Australian building approvals much worse than expected at -3.7% Vs +1.4% forecast and -1.9% previously.
- Australian trade balance also a shocker at -0.97B Vs 1.10Bio forecast and 0.42B last time round.
- For a list of the data still to come and that which we have seen so far, please click here to download the table or go to the ForexLive Economic Calendar to view the releases as they happen.
- China’s new stimulus plan unveiled but falls short of explicitly announcing any new stimulus beyond what has already been committed.
Forex Market Goings On:
- The AUD/USD looks destined to make good use of its recent range and it does not look like 0.6280/0.6550 will be the defining range for the next few sessions at least. Weaker economic data certainly didn’t help the AUD/USD today with it drifting lower throughout the session, with a 30 pip bounce the best it could muster. Expect to see a test closer to 0.6280 tonight.
- There were large stops in the EUR/USD taken out below 1.2600. Look for the move lower to continue tonight with a test of 1.2350 possible.
- Australian and Japanese equity markets finish up 0.7% and 2% with energy stocks helping the markets higher today.
- The AUD/JPY still unable to take out the important 65.00 level and until it does it will risk a move back towards 61.00.
- Ranges: EURUSD 1.2576/1.2664, USDJPY 98.87/99.54, GBPUSD 1.4126/1.4201, AUDUSD 0.6410/0.6499, EURJPY 124.83/125.56, EURCHF 1.4740/1.4798, EURGBP 0.8897/0.8930, AUDJPY 63.57/64.40.
- I have included charts of the majors and the crosses to give you an idea of the price action thus far.
