Forex news for US trading on Feb 9, 2016:

  • December 2015 US JOLTS 5.607m vs 5.400m exp
  • December 2015 US whole sale inventories -0.1% vs -0.2% exp m/m
  • White House cuts growth forecasts for next budget
  • Do you want to know why you should be patient to trade the big levels?
  • Video: What to trade in a tough market
  • Weidmann: ECB will discuss new outlook at March policy meeting
  • ECB Villeroy: ECB is monitoring for adverse effects
  • Is today going slowly for you too?
  • US stocks end up-and down session marginally lower
  • Oil continues move lower. Down 6.2% now.
  • Forex technical analysis: USDCHF tests dual support area
  • Not quite turnaround Tuesday for European stocks at the close
  • Fed needs to go negative on interest rates says Kocherlakota - Livesquawk
  • Goldman Sachs takes losses on US dollar longs
  • BOJ Kuroda Generals always fight the last war
  • Can US stocks avoid another collapse?
  • You can now pay the world's most indebted government to own their debt

Yesterday the USDJPY fell below the 115.55 area but still managed to close above that key level. Today, the pair moved to - and through - that support level and stayed below. Early selling of stocks in the US kept the pressure on the pair, but stocks stabilized, moved from negative to positive, and that kept the USDJPY range bound for the rest of the trading day. Going forward traders will want to see corrections remain below the 115.55-85 area. This area includes a number of swing lows going back to early 2015.

The EURUSD traded at the highest level going back to October 22, 2015. In the process, the pair moved above the 61.8% retracement of the move down from the August 2015 high to the December 2015 low. That level comes in at 1.1256. The low corrective price after the break, bottomed right at the 1.1256 level. From there, the EURUSD moved to the new session highs at 1.1337. A topside trend line on the intraday 5- minute chart AND the daily chart, stalled the pair at that peak. In the new trading day, traders will put a big "WATCH THIS LEVEL" at 1.1256. Stay above and the buyers remain in control. Move below and the market might have some more correcting to do.

The USDCHF took it on the chin in trading today. The pair traded in a larger than normal 179 pip trading range (the 22-day average is 102 pips). The pair has been down for 7-consecutive days now. Over that time period the price has moved from a high of 1.0248 to a low today of 0.9694 (556 pips). The fall did reach a pretty juicy technical area near the 50% retracement of the move up from the May 2015 low to the November 2015 high, AND the 200 day MA (at 0.9699 and 0.9713 respectively). If the pair is to find a bottom, that would be the area for traders to fight the fight. A break below in the new trading day and all bets are off.

Oil prices were down close to 6%. USDCAD soared right? Nope. The USDCAD was down in trading today as the pair divorces itself from the up and down swings from the oil. Admittedly, the USDCAD price did rebound higher in late trading, but it sits below the 200 hour MA above at 1.39206 and above the 100 hour MA at the 1.3828 level (the price is at 1.3866 currently). Traders will use those levels in the new trading day and either trade against them or look for a break and run.

On the economic front today, the JOLTS job openings were higher at 5.607M vs 5.400M exp. The Separations increased as did the Quits but the Hirings also increased which could be suggestive of people voluntarily leaving for greener pastures. Wholesale Inventories fell -0.1% in December which means 4Q GDP might be weaker, but leaner inventories might make 1Q GDP better.

Yellen testifies tomorrow at 10 AM. That - and stocks - will be the focus tomorrow.