Forex news for New York trading on December 20, 2016
- US stocks ends session higher and near day highs. Dow falls short of 20K again.
- US crude oil futures settle at $52.23 per barrel
- USD: Trump's border tax proposal 'extremely' bullish for USD - Deutsche Bank
- US dollar grinds lower after hitting 14-year high
- EURUSD Update: Near unchanged on the day
- German police release truck attack suspect
- How about tomorrow for the 20k Dow?
- Oil drops as Libya says will add 270K bpd of production in three months
- European stocks finish on a good note - Italy hits the highest since last Jan
- Here's my forex gift list. What's on yours?
- Pound gets a lift at the fix
- Picking a market turn: Are we ready to turn in the NZDUSD?
- Forex technical analysis: USDJPY moves into old "floor" area
- Can Merkel survive 2017?
- Customs union is not a binary decision says May
- Tough to fight OPEC: Oil uptrend intact as crude hits session high
- May: We're leaving the EU but not leaving Europe
- New Zealand GDT dairy auction price index -0.5%
- Forex technical analysis: EURUSD trades to new low for year. OK, what next?
- Philadelphia Fed nonmanufacturing index 20.9 vs 10.6 in November
- Canada Oct wholesale trade sales +1.1% vs +0.5% expected
- The strongest and weakest currencies as NA traders enter for the day
- Banks to bite the hand that feeds - ECB taken to court
In other markets today:
- S&P index +8.23 points or 0.36%
- NASDAQ composite index +26.504 points or 0.49%
- Dow industrial average +91.56 points or 0.46%
- 2 year notes 1.216%, unchanged
- 5 -year notes 2.04%, +2 basis points
- 10 year note 2.56%, +2 basis points
- 30 year bond 3.14%, +2 basis points
- Spot gold is trading at $1131.75, down -$6.06 or 0.53%
- Crude oil is trading at $52.23, +0.11 or +0.21%
- The JPY is the weakest currency today, while the CAD is the strongest.
Fundamentally it was quiet on the news front in the North American session. There was a wholesale trade sales report out of Canada and that advanced more than expectations at 1.1% vs +0.5% and that was reason enough to push the CAD to the top of the league table against the major currencies. One day after being the strongest currency of the day, the JPY was the weakest. BOJ Kuroda said he was not concerned about he JPY's weakness.
For the USD, the greenback moved higher, then corrected against most currency pairs, but the sell offs need more of a push - if it is to go lower. The dollar was highest against the JPY. and fell the most vs. the CAD. The other pairs were up a little or down a little (vs yesterday's closes).
What are some of the highlights for the major currency pairs?
EURUSD: The EURUSD traded to the lowest level since Jan 3, 2003 today - taking out last weeks low at 1.0366 (the low reached 1.03517). A lower trend line support line on the hourly chart (lows over the last 2 trading days), stalled the fall at the low. The corrective move higher recovered all the losses on the day (move just above unchanged), but found sellers against that area and looks to settle around the midpoint of the day's trading range at 1.03845. The 100 and 200 bar MA on the 5- minute chart is near that midpoint level at 1.0383. That area should define bullish above/bearish below in the new trading day.
USDJPY: The USDJPY traded higher in Asian Pacific and early London trading - moving back above the 118.06 level (see post outlining the levels importance HERE). The pair waffled up and down around the level until giving way to the downside. The 100 hour MA stalled the fall in the NY afternoon session. (at 117.679 as I type). That should help to define bullish and bearish in the early part of the new trading day.
NZDUSD. This pair showed signs of a bottom (see Picking a Market Turn: Are we ready to turn in the NZDUSD) and a downward trend line was busted around 0.6907 but the price could only get up to 0.6930 area before turning back down. Support from 100 and 200 bar MA on the 5 minute comes in at the 0.6909 level and that is holding support for now. If this pair is truly "ready to turn", need to hold the MA support.
USDCAD: The USDCAD took out the highs from last week at 1.34166 and 1.3420 respectively and moved to a high or 1.3433. That break was short lived, however, and a better than expected wholesale trade sales sent the CAD higher and the USDCAD lower. The consolidation in the pair over the last few days, has allowed the 100 hour MA to catch up to the price (MA is at 1.3354). The low reached 1.3358 in the NY afternoon session. Holding is more bullish. Moving below is more bearish in the new trading day.
GBPUSD: In the yellow area. Need to get out of the yellow area. Don't need to get too complicated.
Below are the % changes of the major currencies vs each other on the day.
