forex market insight 22 august 2011

8/4/2019 Forex Market Insight 22 August 2011

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Market Insights 22 August 2011

Markets close Friday on a downbeat note as bearishness continuesUSD furthers rise on flight-to-safetyUSD/JPY trades at new lows; focus on BoJ interventionAUD/USD rejects levels around 1.0450; starts new week lowerGold surges to yet another new record high; currently trading near 1800US sharemarkets see another negative night on Friday: Dow down 1.6%

US economic data, including durable goods and jobs, in focus this week

Headlines

AUD/USD

XAU/USD

Resistance

1.0480

Support

1.0320Market Sentiment

Bearish

he Aussie has started the new week on a negative foot and now appears to be heading back to support at 1.0320. Whilehe bias remains negative, traders will be watching for a bounce around 1.0320. A break below this level is likely to seeurther selling.

old continues higher and started the new week by pushing toward the all-time highs at 1880. Again, traders will continue tooks for breaks to new highs as signals to resume long positions. While this market looks overheated, it can keep going upr some time yet.

Resistance1880

Support

1840Market Sentiment

Bullish


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EUR/USD

GBP/USD

USD/JPY

he USD/JPY produced a false break to new all-time lows on Friday and we have since seen a natural move higher. Traders willontinue to work shorts around 77.00/20 in line with the dominate downtrend. Traders will continue to watch for BoJtervention.

he GBP/USD continues to benefit from the inflows of global bond managers as they look for AAA alternatives to the US. Theound has rallied close to 5% over the last two weeks and traders will remain focused on the upside. Traders will be looking

r longs around 1.6450.

he Euro continues to grind lower, but its certainly making hard work of it. The EUR/USD has seen difficult congested tradecently but the overall bias remains to the downside. Any move back toward 1.4450 is seen as an opportunity to take new

horts.

Resistance

1.4450

Support


Bearish

Resistance

1.6620

Support


Bullish

Resistance

77.00/20

Support


Bearish


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SILVER

USD/CHF

GBP/JPY

Theres been no real change on the GBP/JPY in recent trading. The pound-yen sees resistance at 127.00 and traders willontinue to use this level for new short positions. A break above 127.00 is bullish, however.

No real change on the USD/CHF as the pair remains in the trading range. Traders will still be looking for longs around 78.00nd shorts around 80.00. A clear break of 80.00 will change the markets view to bullish.

lver finally made that break above 42.00 we had been waiting for and the break results in a swift move to 43.60 in recordme. Silver can move to 44.25 in the near with the expectation of a small pause around this level.

Resistance

44.25

Support


Bullish

Resistance

80.00

Support


Neutral

Resistance

127.00

Support


Bearish


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AUD/JPY

OIL

Economic Calendar

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F/Cast Last F/Cast Last

CNY: HSBC Manufacturing 8.3% EUR: German ZEW Sentiment -24.6 -15.1 NZD: Inflation Expectations 3.0% GBP: CBI Industrial Orders -13 -10 EUR: Flash Manufacturing PMI 49.7 50.4 CAD: Retail Sales 0.4% 0.5% EUR: Flash Services PMI 51.1 51.6 USD: New Homes Sales 316k 312k

il continued lower on Friday on ongoing fears for the health of the global economy. Technically, crude went up to resistancet 84.00 before being sent back lower. Traders will be looking to sell just below 84.00 in expectation of a move back to0.00.

he Aussie-yen remains trapped under 80, and traders will continue to focus on the downside in the near term. That said, areak above 80 will be seen as bullish. Traders will continue to watch for BoJ intervention.

Resistance82.00

Support80.00

Market Sentiment

Bearish

Resistance

80.00Support


Bearish

forex market insight 22 august 2011

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