Friday, September 25, 2015

Action Insight Mid-Day Report 9-25-15

ActionForex.com
Action Insight Market Overview Markets Snapshot

Mid-Day Report: Dollar Supported by Yellen and GDP Revision

Dollar remains firm in early US session and is set to be close the week as the strongest major currency. On the one hand, dollar was supported by Fed Chair Janet Yellen's affirmation of rate hike this year. On the other hand, the greenback is also supported as Q2 GDP growth was finalized at 3.9%, revised up from 3.7%. GDP price index was left unrevised at 2.1%. Released elsewhere, Eurozone M3 money supply rose 4.8% yoy in August. In Japan, national CPI core dropped to -0.2% yoy in August, below expectation of -0.1% yoy. Tokyo CPI core dropped to -0.2% yoy in September, inline with consensus. Corporate service price index rose 0.7% yoy in August.

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Featured Technical Report

GBP/USD Mid-Day Outlook

Daily Pivots: (S1) 1.5197; (P) 1.5243; (R1) 1.5286; More...

GBP/USD's fall resumed after break consolidation and took out 1.5164 support. The development also indicates resumption of whole decline from 1.5929. Intraday bias is back on the downside for 61.8% retracement 1.4565 to 1.5929 at 1.5086 first. Decisive break there will pave the way back to 1.4565 low. On the upside, above 1.5288 minor resistance will turn bias neutral again.

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Economic Indicators Update

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GMT Ccy Events Actual Consensus Previous Revised
23:30 JPY National CPI Core Y/Y Aug -0.20% -0.10% 0.00%
23:30 JPY Tokyo CPI Core Y/Y Sep -0.20% -0.20% -0.10%
23:50 JPY Corporate Service Price Y/Y Aug 0.70% 0.50% 0.60%
8:00 EUR Eurozone M3 Y/Y Aug 5.40% 5.30%
12:30 USD GDP (Annualized) Q2 F 3.70% 3.70%
12:30 USD GDP Price Index Q2 F 2.10% 2.10%
14:00 USD U. of Michigan Confidence Sep F 87 85.7
Orders and Options Watch

US Session: Orders and Options Watch

EUR: The single currency found support at 1.1116 and has recovered, offers at 1.1165 were filled but sell orders are still noted at 1.1180, 1.1200 and 1.1220-25, selling interest is tipped at 1.1245, 1.1275 and 1.1300. On the downside, bids are seen at 1.1150 and 1.1115-20, mixture of bids and stops remains at 1.1100-05, buy orders are expected at 1.1085, 1.1065 and 1.1050, buying interest should emerge around 1.1030 and 1.1000.

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Forex Trade Ideas

Trade Idea Update: USD/JPY - Buy at 120.30

The greenback found good support at 119.22 yesterday and has rallied above indicated resistance at 120.99, adding credence to our bullishness and gain to resistance at 121.35 would be seen, however, above there is needed to signal an upside break of recent established broad range has occurred, bring headway to previous resistance at 121.75 later.

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Trade Idea Update: EUR/USD - Sell at 1.1225

Euro's retreat after yesterday's brief rise to 1.1296 has dampened our near term bullishness and signals the rebound from 1.1105 has ended at 1.1296, bring test of this level, however, break of previous support at 1.1087 is needed to retain bearishness and extend early selloff to 1.1050-55 but near term oversold condition should limit downside to 1.1020-25 and price should stay above 1.1000, bring rebound 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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