Wednesday, September 23, 2015

Action Insight Daily Report 9-24-15

ActionForex.com
Action Insight Market Overview Markets Snapshot

Daily Report: Dollar Firm as Yellen Awaited, Kiwi Recovers on Imports

Dollar remains the strongest major currency this week as markets await Fed chair Janet Yellen's speech. After FOMC kept interest rates unchanged last week, there was a chorus of Fed hawks affirming that rate hike would still happen this year. Yellen's view on this will be closely watched. Meanwhile, yesterday, Atlanta Fed president Dennis Lockhart tried to down play the impact of the slowdown in China. He said that "China is slowing to still a very respectable pace of growth" and "there is a decent chance that the world is overreacting".

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Featured Technical Report

USD/CAD Daily Outlook

Daily Pivots: (S1) 1.3250; (P) 1.3303; (R1) 1.3374; More...

The breach of 1.3353 resistance suggests that recent up trend in USD/CAD is resuming. Intraday bias is mildly on the upside and further rally would be seen to next long term retracement level at 1.3469. Meanwhile, below 1.3232 minor support will turn bias neutral and would possibly extend the consolidation from 1.3353. But outlook will stay bullish as long as 1.3011 support holds.

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Economic Indicators Update

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GMT Ccy Events Actual Consensus Previous Revised
22:45 NZD Trade Balance (NZD) Aug -1035M -875M -649M -726M
1:35 JPY PMI Manufacturing Sep P 50.9 51.3 51.7
4:30 JPY All Industry Activity Index M/M Jul 0.10% 0.30%
6:00 EUR German GfK Consumer Sentiment Oct 9.8 9.9
8:00 EUR German IFO - Business Climate Sep 108 108.3
8:00 EUR German IFO - Current Assessment Sep 114.9 114.8
8:00 EUR German IFO - Expectations Sep 101.5 102.2
8:30 GBP BBA Loans for House Purchase Aug 46.3K 46.0K
12:30 USD Initial Jobless Claims (SEP 19) 268K 264K
12:30 USD Durable Goods Orders Aug -2.20% 2.00%
12:30 USD Durables Ex Transportation Aug 0.20% 0.60%
14:00 USD New Home Sales Aug 515K 507K
14:30 USD Natural Gas Storage 73B
Orders and Options Watch

US Session: Orders and Options Watch

EUR: The single currency recovered on cross-buying in euro, offers at 1.1160 were filled but sell orders are still noted at 1.1185 and 1.1200, sellers are reported at 1.1225 and 1.1245, selling interest is tipped at 1.1275 and 1.1300. On the downside, bids are seen at 1.1105-15 (stops below) and 1.1085, buy orders are expected at 1.1065 and 1.1050, buying interest should emerge around 1.1030 and 1.1000.

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Forex Trade Ideas

Trade Idea: EUR/GBP - Buy at 0.7290

As the single currency has staged a strong rebound after finding good support at 0.7197 yesterday, suggesting low has possibly been formed and above 0.7361 resistance would add credence to this view and extend gain to resistance at 0.7395, however, it is necessary to see a breach there to signal the correction from 0.7423 (last month's high) has ended, bring retest of this level

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Trade Idea: USD/CAD - Buy at 1.3200

The greenback has maintained a firm undertone after staging a strong rebound from 1.3013, adding credence to our view that correction from 1.3354 has ended there and gain to indicated resistance at 1.3325-27 is seen, however, break there is needed to signal upmove has resumed for a retest of 1.3354 later.

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Candlesticks Intraday Trade Ideas Update Schedule (GMT):
1st Update: 0630 - 0700; 2nd Update: 0930 - 1000; 3rd Update: 1230 - 1300; 4th Update: 1500 - 1530
Pairs Covered: EUR/USD, USD/JPY, GBP/USD, USD/CHF

Elliott Wave Daily Trade Ideas Update Schedule (GMT):
AUD/USD, EUR/JPY: 0800 - 0830; EUR/GBP, USD/CAD: 1430 - 1500

Suggested Readings

Fundamental Highlights

Technical Highlights

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