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23 Nov 2013
Session recap: Euro and Pound advances; Yen sell-off continues
FXstreet.com (San Francisco) - As the Euro held levels above 1.3500, the JPY continued with its sell-off and the AUD didn't find floor. Stocks came back from early losses and closed the week at record highs; the gold remained at 4-month lows.
Great rotation from bonds to stocks and Forex as Jamie Coleman said it precisely in a recent article: the "EUR/USD was supported throughout the [Friday] US session by continued reflation-trade buying."
The EUR/USD posted on Friday its eighth day of gains in the last ten with the pair reconquering the 1.3500 area and closing at 1.3550. Since November 7, the Euro advanced 250 pips against the US Dollar in just two weeks and it seems ready to test the 1.3535 area, 50% Fib level of the Oct 25-Nov7 decline.
However, FXstreet.com's analyst chief warned in a recent report that the EUR/USD is not looking good to the upside: "the daily chart shows the pair may be just developing the second shoulder of a H&S figure with a neckline around 1.3280."
The GBP/USD also logged its eighth positive day in the last ten but this time the pair is consolidating levels above the 1.6120 and it seems pretty clear the Cable will test January and October highs around 1.6250 in the next days.
The USD/JPY finally accelerated above the 100.00 on Thursday and consolidated to the upside on Friday. The pair closed the week at highest since July at 101.30. According to the FXstreet.com Forecast poll: 'Although some bears remain, investors are turning bullish again.'
The AUD/USD collapsed for third day and closed the week at 0.9160. The Aussie has collapsed around 650 pips in a month from Nov. 23 high at 0.9755 to Friday lows at 0.9140.
Forecast Poll:
EUR/USD little chances of steady gains: Market players expect the pair to turn lower from now on with a few exceptions that anyway don't exceed 1.4000.
GBP/USD slightly bearish outlook prevails: Pound is seen giving up some gains, albeit not far below 1.6000.
USD/JPY bulls begin to be more confident: Although some bears remain, investors are turning bullish again.
AUD/USD just smoke? Despite RBA Stevens and Aussie selloff, market remains buoyed in the pair, seen mostly recovering ground short and longer term.
EUR/JPY weighted by EUR weakness: While yen is expected to fall, EUR lack of upward potential will likely keep the pair below 140.00.
Main headlines in the American session:
Canada: Annual CPI up 0.7% in October
Canada: Retail Sales expand more than expected in September
Here's the full Reuters story on the proposed Eurogroup financing scheme
CFTC Commitments of Traders: Bets on yen to decline hit 6-year high
Stocks recovers the positive mood and closes at record highs
Great rotation from bonds to stocks and Forex as Jamie Coleman said it precisely in a recent article: the "EUR/USD was supported throughout the [Friday] US session by continued reflation-trade buying."
The EUR/USD posted on Friday its eighth day of gains in the last ten with the pair reconquering the 1.3500 area and closing at 1.3550. Since November 7, the Euro advanced 250 pips against the US Dollar in just two weeks and it seems ready to test the 1.3535 area, 50% Fib level of the Oct 25-Nov7 decline.
However, FXstreet.com's analyst chief warned in a recent report that the EUR/USD is not looking good to the upside: "the daily chart shows the pair may be just developing the second shoulder of a H&S figure with a neckline around 1.3280."
The GBP/USD also logged its eighth positive day in the last ten but this time the pair is consolidating levels above the 1.6120 and it seems pretty clear the Cable will test January and October highs around 1.6250 in the next days.
The USD/JPY finally accelerated above the 100.00 on Thursday and consolidated to the upside on Friday. The pair closed the week at highest since July at 101.30. According to the FXstreet.com Forecast poll: 'Although some bears remain, investors are turning bullish again.'
The AUD/USD collapsed for third day and closed the week at 0.9160. The Aussie has collapsed around 650 pips in a month from Nov. 23 high at 0.9755 to Friday lows at 0.9140.
Forecast Poll:
EUR/USD little chances of steady gains: Market players expect the pair to turn lower from now on with a few exceptions that anyway don't exceed 1.4000.
GBP/USD slightly bearish outlook prevails: Pound is seen giving up some gains, albeit not far below 1.6000.
USD/JPY bulls begin to be more confident: Although some bears remain, investors are turning bullish again.
AUD/USD just smoke? Despite RBA Stevens and Aussie selloff, market remains buoyed in the pair, seen mostly recovering ground short and longer term.
EUR/JPY weighted by EUR weakness: While yen is expected to fall, EUR lack of upward potential will likely keep the pair below 140.00.
Main headlines in the American session:
Canada: Annual CPI up 0.7% in October
Canada: Retail Sales expand more than expected in September
Here's the full Reuters story on the proposed Eurogroup financing scheme
CFTC Commitments of Traders: Bets on yen to decline hit 6-year high
Stocks recovers the positive mood and closes at record highs