Forex news for NY trading on September 20, 2016
- US stocks ends the day up a little but near the day's lows
- USDJPY technical levels through the BOJ meeting
- Coming up: Adam and Eamonn talk Fed and BOJ
- There is one unheralded reason that productivity has been so disappointing
- What's the trade if the BOJ does nothing?
- BOC's Poloz: Output gap and exports are behind shift downward in inflation risks
- USD/JPY to decline even if the BOJ ramps up QE - Citi
- Forex trading: Head and Shoulder in the EURGBP? Not so fast.
- CIBC still sees BOC on hold through year-end after Poloz speech
- BOE Saunders: BOE must be constantly on the alert low interest rates hurting...
- Canadian dollar unmoved after Poloz says stimulative monetary policy needed
- Another shot in the gut for Wall Street.
- Forex technical analysis: USDJPY more bearish technically, but....
- Oil markets cling to the highs after OPEC stabilisation chatter
- European stocks make it two days on the trot for gains...mostly
- Forex technical analysis: NZDUSD falls to first support area after GDT auction
- Fed hike probability for December creeps higher
- New Zealand GDT price index -0.2% in latest auction
- Atlanta Fed GDPNow lowered to 2.9% vs 3.0% prior
- US stocks open the day with modest gains
- Belgian September consumer sentiment -10 vs -4 prior
- US Aug housing starts 1142K vs 1190K expected
- The strongest and weakest currencies as NA traders enter for the day
Most of the NY session seemed to be spent taking care of flows as the market awaits the BOJ and FOMC interest rate decisions.
For the EURUSD, it rose in early trading Asian/early European trading but was back toward unchanged as NY traders entered for the day. The NY afternoon session saw the pair move lower and approach the lows from yesterday and Friday AND the 200 day MA at the 1.11487 level. Back in early September the price tested tested this MA level and bounced. In August the price tried to move below the MA line but failed. Key level for bullish/bearish bias.
The USDJPY will be a pair of interest in the new trading day as the BOJ decision is awaited. The moved lower and higher in the NY session in the NY session in about a 30 pip trading range. That trading centered above and below the 200 bar MA on the 4 hour chart. With the BOJ decision tonight, there is a lot of room for volatility in the new trading day. An outline of technical levels through that decision and why it is important, can be found here.
The NZD was the strongest currency for the day coming into the NY session and the strongest going out, but the NY session was spend retracing a lot of the NZDUSD gains for the day. The catalyst was holding resistance near the September 13th high. Also Daily prices were perhaps not as bullish as expected. The pair did find support right at the weeks midpoint of the weeks trading range at the 0.73036 level. For the last 7 or so hours of the NY session, the range was 21 pips. The RBNZ will announce their interest rate decision in a little over 24 hours.
The GBPUSD was on the rebound in the NY session after falling in the London/ European morning session. The GBPUSD saw the price dip below the 1.3000 level in the London morning session but found support buyers near the 1.2950 area. The rally in the NY session moved back toward the 1.3000 area (near the lows from early Monday trading) but ended up just short. of reaching back to the 1.3000 level by the close. The GBP remained the weakest currency on the day despite the NA session recovery.
In other markets.
- Stocks were little changed on the day with the S&P up 0.03% and the Nasdaq up 0.12%.
- US bonds were down about 2 basis points in the 5, 10 and 30 year maturities. The 2 year was down about 1 basis points.
- European stocks ended the day mixed with the Dax up 0.19% , and the UK FTSE was up 0.25%, but the France's Cac was down -0.13%, and the Euro Stoxx was down -0.12%,
- Crude oil is up a modest 0.32% at the close of trading.
Below is a snap shot of the % changes of the major currencies against each other:
