.
NEW YORK
10:26
LONDON
15:26
PARIS
16:26
FRANKFURT
16:26
HONG KONG
21:26
TOKYO
23:26
SYDNEY
00:26
  • Trade Now

Forex Daily News: August 23, 2010 - Euro Drops for Second Week

Written by UFXBank Research Team
Rate this item
(0 votes)

USD Dollar (USD) – The Dollar continued to rise against other major currencies on Friday, as fears of a slowdown in the global economic recovery were bolstered by worse than expected U.S. jobless claims. The report, which came out on Thursday, showed that claims had risen to their highest level since November 2009 and caused investors to sell off risky assets. The NASDAQ strengthened by 0.04% and the Dow Jones weakened by 0.56%. Crude oil weakened by 1.3% closing at $73.40 a barrel, while Gold (XAU) declined by 0.5% to close at $1228.80 an ounce. No economic data is expected today.

EURO (EUR) – The Euro dropped for a second week against the Dollar, falling to a five-week low, as weaker economic data and calls by a European Central Bank official for more economic aid damped investor appetite for higher-yielding currencies. The pair has been trading downwards since August and trading under the 10 moving average on the daily chart, therefore the momentum is bearish and a short position is preferred. Overall, EUR/USD traded with a low of 1.2663 and with a high of 1.2833.Today, German Flash Manufacturing PMI is expected at 60.9 vs. 61.2 prior, Flash Manufacturing PMI is expected at 56.3 vs. 56.7 prior.

EUR/USD – Last: 1.2712

Resistance

1.2734

1.2833

1.2922

Support

1.2660

British Pound (GBP) – The Pound fell versus the Dollar and yen in Forex Trading, as concern that the global economic recovery is slowing, further boosted demand for the safest assets. The GBP/USD has been trading very stable in the last week, the next support on the daily chart is 1.5480, and if the price breaks this level, a short position is preferred. Overall, GBP/USD traded with a low of 1.5460 and with a high of 1.5595. No economic data expected today.

GBP/USD - Last: 1.5563

Resistance

1.5588

1.5700

Support

1.5500

1.5460

Japanese Yen (JPY) –The Yen rose against most majors as data indicated the global economic recovery may be faltering. As long as the USD\JPY is trading below 86.50 levels, a short position is preferred and the momentum is clearly bearish. The next support on the chart is located at 84.60. Overall, USD/JPY traded with a low of 85.19 and with a high of 85.82. No economic data expected today.

USD/JPY-Last: 85.35

Resistance

85.90

86.40

Support

85.10

84.90

Canadian dollar (CAD) – The Canadian Dollar weakened to the lowest level in a month versus the Dollar. The drop came after a report of Core CPI showed negative data in July, coming in lower than the expected forecast (-0.1% vs. 0.1), and this led investors to sell the Canadian currency. As long the USD/CAD is above 1.0450 levels, a long position is preferred. The next resistance on the one hour chart is located at 1.0520 if the price crosses this level, the trend will continue to be bullish. Overall, USD/CAD traded with a low of 1.0382 and with a high of 1.0515. No economic data is expected today.

USD/CAD - Last: 1.0490

Resistance

1.0515

Support

1.0465

1.0380

1.0300

Add comment



Currency converter
Amount:
From:
To:


Polls

Which is the Best Forex Broker you have traded with?

Interview with Matthew Sheppard

Senior Forex Advisor at XForex


1. What is your name and position?

Hello, my name is Matthew Sheppard and I am a senior forex advisor at XForex.

2. What is your experience and professional background?

In the last 6 years I had filled several positions in financial institutions such as a stock broker, a foreign exchange desk manager, a financial consultant and in my recent role I serve as a senior Forex advisor for XForex which is an online forex company.

3. What type of clients you deal with?

We deal with clients on all levels from the beginning stages to the more advanced trading levels.

4. Does most of your business activity come from the online or offline world?

Because of our high presence on the web, most of our business comes from the online world.

5. Why should a trader pick XForex from all forex brokers?

Aside from all the benefits that XForex offer like commission-free trading, 24/7 online support, high leverage (200:1), XForex offers educational and learning trading experience that you won’t find anywhere else..

Our team of experts and financial trainers provide personal assistance and guide clients to financial success. We provide daily analysis and market reviews to our clients giving them a better understanding of the market and helping them trade profitably.

6. From your experience, what advice would you give a person who wants to enter the forex world?

My advice to the beginning trader entering the Forex world is as follows:
  • Learn the market and understand what you’re getting into.
  • Research and find the broker that suits your needs and wants. Look for a good offering but more importantly customer service, don’t go for the low rates offer without being certain they have a good customer service department. From my extensive experience in the Forex world your key to success will be your client-broker relationship. I can honestly say that at XForex they put an emphasis on servicing clients, which is so important.
  • Invest smartly and calculate your risks.
  • Always know when to get out of a trade.

Broker of the Month

5_small_logoUFXBank provide up-to-date charts and news feeds, coupled with an easily navigated trading platform. UFXBank traders can access the biggest market in the world 24 hours a day with ease.

By keeping their platform, site and deposit process simple, safe and secure, UFXBank have become the web’s premier online forex trader.