Thread: Daily Signals Forex

Evening Signals Wednesday, 09 Dec 2009 12:45 AM GMT
EUR/USD
Trend: Downward
Sell EUR/USD at 1.4747 SL 1.4787 TP 1.4717

GBP/USD
Trend: Downward
Sell GBP/USD at 1.6328 SL 1.6368 TP 1.6298

USD/JPY
Trend: Downward
Sell USD/JPY at 87.93 SL 88.33 TP 87.63

USD/CHF
Trend: Upward
Buy USD/CHF at 1.0245 SL 1.0205 TP 1.0275

Oil markets have looked to wider economic data and equity markets this year for a sign of a turnaround in the economy that could bolster crude demand and drain high inventory levels in key consumers, such as the United States.

Crude oil stocks at the giant storage hub in Cushing, Okla. -- the delivery point for the New York Mercantile Exchange's oil futures contract -- have swelled, deepening the discount of front-month crude futures to second-month futures.

This market condition, called a contango, encourages more storage onshore and offshore, and drags down prices further.

"Cushing storage are the leading reason January prices (are) lower and the continuing expansion of the contango has traders worries about the likelihood of further increases in floating storage; most on-land storage is already full," said Peter Beutel, president of Cameron Hanover in New Canaan, Conn.

Weekly U.S. inventory data from the American Petroleum Institute, due out later Tuesday, was expected to show a 600,000-barrel build in crude stocks in the week to Dec. 4 and a rise of 1.5 million barrels in gasoline inventories. Weekly data from the U.S. Energy Information Administration was due out on Wednesday morning.

Oil prices have rallied to a high for the year of $82 a barrel, reached in October, from below $33 in December 2008, even though fundamentals of supply, demand and inventories are bearish in the view of many analysts.

Daily Signals Friday, 11 Dec 2009 07:15 AM GMT
EUR/USD
Trend: Downward
Sell EUR/USD at 1.4720 SL 1.4760 TP 1.4690

GBP/USD
Trend: Downward
Sell GBP/USD at 1.6289 SL 1.6329 TP 1.6259

USD/JPY
Trend: Upward
Buy USD/JPY at 88.69 SL 88.29 TP 88.99

USD/CHF
Trend: Upward
Buy USD/CHF at 1.0271 SL 1.0231 TP 1.0301

Daily Signals Friday, 11 Dec 2009 07:15 AM GMT

EUR/USD
Trend: Downward
Sell EUR/USD at 1.4720 SL 1.4760 TP 1.4690

GBP/USD
Trend: Downward
Sell GBP/USD at 1.6289 SL 1.6329 TP 1.6259

USD/JPY
Trend: Upward
Buy USD/JPY at 88.69 SL 88.29 TP 88.99

USD/CHF
Trend: Upward
Buy USD/CHF at 1.0271 SL 1.0231 TP 1.0301

Evening Signals Friday, 11 Dec 2009 11:30 AM GMT

EUR/USD
Trend: Downward
Sell EUR/USD at 1.4763 SL 1.4803 TP 1.4733

GBP/USD
Trend: Downward
Sell GBP/USD at 1.6280 SL 1.6320 TP 1.6250

USD/JPY
Trend: Upward
Buy USD/JPY at 88.86 SL 88.46 TP 89.16

USD/CHF
Trend: Upward
Buy USD/CHF at 1.0248 SL 1.0208 TP 1.0278

The stronger-than-expected U.S. data also led to a breakdown in the inverse relationship between the dollar and risky assets that has existed for much of the past year. Stocks mostly advanced, with the Dow Jones industrial average at a fresh high for the year, while technology shares were flat.

Good data has tended to pressure the greenback in recent months as investors took on riskier, higher-yielding investments and cut demand for the safe-haven U.S. currency.

"I think the risk appetite trade we've been talking about for months is breaking down and I think the correlation between positive U.S. data and dollar strength is going to take hold," said Melvin Harris, a strategist at Easy Forex in New York.

Analysts also said moves to close the books on profitable trades were helping the dollar. "Going into the end of the year ... there's quite a bit of interest to cover short dollar positions across the board," said Ronald Simpson, director of currency research at Action Economics in Tampa, Fla.

The euro rose against the dollar on Monday after Dubai's announcement it had received help from Abu Dhabi to repay its debts bolstered risk appetite and eroded some of the U.S. currency's safe-haven appeal.

The dollar index slipped, retreating from its highest in more than a month hit last week, after Abu Dhabi agreed to bail out its debt-laden neighbour with $10 billion in aid, easing worries about a possible debt default by Dubai.

Analysts said the euro benefited from the bailout announcement, which also triggered initial selling in the yen.

But they said further gains may be capped as Dubai's debt issues underlined fiscal concerns in other countries, including Greece, whose credit rating was cut last week.

"The market's reaction to the Dubai news was relatively positive, but there remain question marks relating to the broad issue of sovereign risk, which will be one of the themes going into 2010." said Ned Rumpeltin, currency strategist at Nomura in London.

Other analysts said traders were unlikely to put on big positions as market liquidity decreases in the run-up to the year-end holidays.

The euro had rose 0.2% to $1.4650, having climbed to around $1.4685 after Dubai said it had received funding from Abu Dhabi to help it repay $4.1 billion in an Islamic bond maturing on Monday.

The euro barely moved after euro zone employment and production figures. Late last week, it hit a two-month low of $1.4586 on the EBS trading platform on the back of strong U.S. retail sales and consumer sentiment figures.

Euro/dollar gains helped to push the dollar index down 0.1% to 76.492, pulling it away from a near six-week high of 76.726 hit late last week.

The euro initially rose against the yen, rallying close to the day's high around ¥130.60, before reversing those gains. It was last at ¥129.29, down half a percent on the day.

Last month, news that government-controlled holding company Dubai World might default rattled financial markets and led to a sell-off in the euro and riskier assets

Daily Signals Friday, 15 Dec 2009 07:15 AM GMT

EUR/USD
Trend: Upward
Buy EUR/USD at 1.4642 SL 1.4602 TP 1.4672

GBP/USD
Trend: Upward
Buy GBP/USD at 1.6298 SL 1.6258 TP 1.6328

USD/JPY
Trend: Upward
Buy USD/JPY at 88.99 SL 88.59 TP 89.29

USD/CHF
Trend: Downward
Sell USD/CHF at 1.0325 SL 1.0365 TP 1.0295

Evening Signals Tuesday, 15 Dec 2009 12:15 AM GMT

EUR/USD
Trend: Downward
Sell EUR/USD at 1.4539 SL 1.4579 TP 1.4509

GBP/USD
Trend: Downward
Sell GBP/USD at 1.6237 SL 1.6277 TP 1.6207

USD/JPY
Trend: Upward
Buy USD/JPY at 89.43 SL 89.03 TP 89.73

USD/CHF
Trend: Upward
Buy USD/CHF at 1.0401 SL 1.0361 TP 1.0431

Oil reached a 2009 high around $82 a barrel in late October, after rising from below $33 a barrel last December. Crude surged to a record above $147 a barrel in July 2008, before plummeting, as major world economies sputtered.