Tuesday, September 29, 2015

Action Insight Mid-Day Report 9-29-15

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Action Insight Market Overview Markets Snapshot

Mid-Day Report: Yen Retreats as Stock Markets Stabilized

Risk sentiments improved mildly as European indices recovered after initial loss. US futures also point to higher open. Nonetheless, stocks are still vulnerable to deeper selloff. Yen follows and pare back gains while dollar retreats against commodity currencies. Released in early US session, S&P Case Shiller 20 cities house price rose 5.0% yoy in July versus expectation of 5.1% yoy. Canada IPPI dropped -0.3% mom in August versus expectation of -0.8% mom. RMPI dropped -6.6% mom versus expectation of -7.3% mom.

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Featured Technical Report

USD/JPY Mid-Day Outlook

Daily Pivots: (S1) 119.55; (P) 120.06; (R1) 120.44; More...

Range trading continues in USD/JPY between 118.58/121.62. Intraday bias remains neutral for the moment. On the upside, break of 121.62 will extend the rebound from 116.13 and target 125.27/85 resistance zone. We'd cautious on strong resistance from there to bring reversal. On the downside, break of 118.58 will turn focus back to 116.13 support instead.

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Economic Indicators Update

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GMT Ccy Events Actual Consensus Previous Revised
06:00 EUR German Import Price Index M/M Aug -1.50% -1.50% -0.70%
08:30 GBP Mortgage Approvals Aug 71K 70K 68.8k
08:30 GBP M4 Money Supply M/M Aug -0.40% 0.70% 1.00%
09:00 EUR Eurozone Business Climate Indicator Sep 0.34 0.21 0.21
09:00 EUR Eurozone Economic Confidence Sep 105.6 104 104.2 104.1
09:00 EUR Eurozone Industrial Confidence Sep -2.2 -3.9 -3.7
09:00 EUR Eurozone Services Confidence Sep 12.4 10 10.2 10.1
09:00 EUR Eurozone Consumer Confidence Sep F -7.1 -7.1 -7.1
10:00 GBP CBI Reported Sales Sep 49 29 24
12:00 EUR German CPI M/M Sep P -0.20% -0.10% 0.00%
12:00 EUR German CPI Y/Y Sep P 0.00% 0.10% 0.20%
12:30 CAD Industrial Product Price M/M Aug -0.30% -0.80% 0.70%
12:30 CAD Raw Materials Price Index M/M Aug -6.60% -7.30% -5.90%
13:00 USD S&P/Case-Shiller Composite-20 Y/Y Jul 5.00% 5.10% 4.97% 4.90%
14:00 USD Consumer Confidence Sep 103 97 101.5
Orders and Options Watch

US Session: Orders and Options Watch

EUR: The single currency met resistance at 1.1282 and has retreated, offers are still noted at 1.1280, 1.1300 and 1.1325-30, selling interest is tipped at 1.1350, 1.1380-85 and 1.1400, sellers are awaiting at 1.1420 and 1.1450. On the downside, bids are seen at 1.1195 and 1.1180, buy orders are expected at 1.1150, 1.1125-35 and 1.1100, buying interest should emerge around 1.1085, 1.1065 and 1.1050, fresh demand is located at 1.1030 and 1.1000.

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Forex Trade Ideas

Trade Idea Update: EUR/USD - Sell at 1.1250

Although the single currency rose briefly to 1.1282 earlier today, as euro has retreated after faltering below indicated previous resistance at 1.1296, suggesting further consolidation within recent established range of 1.1105-1.1296 would be seen with mild downside bias for test of the lower Kumo (now at 1.1177), then towards yesterday's low at 1.1147 but price should stay well above 1.1116

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Trade Idea Update: USD/JPY - Stand aside

Although the greenback extended the fall from 121.24 to as low as 119.25, as dollar has rebounded after holding above indicated previous support at 119.22, retaining our view that further consolidation would be seen and recovery to 120.05-10 cannot be ruled out, however, reckon upside would be limited to the lower Kumo (now at 120.23) and only break of the upper Kumo (now at 120.55) would signal the fall from 121.24 has ended

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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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