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In the G-10 currency space, the pound has produced a mid-table performance this week. It fell against the commodity currencies (Australian, New Zealand and Canadian dollars) whilst managing to rally against the defensive, low yielding, currencies (euro, Swiss franc and Japanese yen). GBP/USD and GBP/EUR both moved higher, closing the...
US consumers will be in focus in the coming week and the main event will be retail sales data. The strength of private consumption in the US has surprised on the upside in recent months. Data received so far is pointing to another increase in retail sales in November but...
The pair halted its declines triggered off its Nov 16’09 high at 1.6875 on Friday after reversing an intra day weakness from the 1.6267 level to close lower at 1.6499. Although this did not stop GBP from closing marginally lower on the weekly time frame, the presence of a hammer...
The ECB press conference will attract more attention than usual this week, with financial markets waiting to see whether President Trichet confirms that the central bank is to cease its 12m Long-term Refinancing Operations after December. If so, the move will be interpreted as being the first step by the...
The currency markets have a newly enhanced obsession with statistics. Ten years ago economic statistics engaged the market two or three times a month. Major economic indicators like the United States International Trade Balance or the unemployment rate would command the speculative attention of the market and the occasional surprise...
With a loss of upside momentum and its subsequent collapse through a layer of key supports seen EUR testing a low of 1.4827 level the past week before closing higher on Friday at 1.4986, we are now faced with two scenarios. One is the shooting star candle pattern formed on...
After lacking direction for several weeks, the dollar fell to new lows against various currencies this week. During the course of the week, EURUSD firmed to 1.5144 temporarily, a 15-month high, only to plummet again towards the end of the week. The Swiss franc breached parity (i.e. the 1:1 level)...
During the past week incoming data has with few exceptions revealed progress in the economic recovery in almost every region of the globe. Even so, risk appetite has taken a hit over the past few days. News about Dubai and Greek debt problems and the devaluation in Vietnam during the...
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