Daily Forex Fundamentals – August 16, 2011

What’s on the Economic Horizon?

German GDP growth expected to slow
U.K. CPI to tick higher?
U.S. building permits and housing starts on tap
New Zealand PPI to ease to 1.2%

U.S. Dollar (USD)

Oh how the mighty have fallen… again! The great USD declined against practically all its major counterparts yesterday as weak economic data and a solid performance in equities dealt it a one-two combination. As a result, EUR/USD climbed 179 pips to close at 1.4441 just as USD/CHF sank from an intraday high of .7998 to finish at .7856. Read more…

Euro (EUR)

Unlike what Jessie J suggested in her hit single, it was all about the money yesterday in the markets. It certainly helped the euro! A risk-friendly market environment and a few positive reports from the euro region boosted EUR/USD to a high near 1.4500 before it settled with a 180-pip gain at 1.4441. Read more…

British Pound (GBP)

After consolidating below the 1.6300 handle, GBP/USD broke to the upside and reached a high of 1.6410. The pound also gained against the yen as GBP/JPY closed 69 pips above its 125.12 open price. Is it in for more gains today? Read more…

Japanese Yen (JPY)

Bank of Japan officials must’ve breathed a sigh of relief when they saw the yen sell off yesterday. It lost against almost all of the higher-yielding currencies as a broad risk rally knocked it down and didn’t let it up. Will it put up a fight today? Read more…

Canadian Dollar (CAD)

Ha! Who’s the loser now? The Loonie murdered the Greenback in the charts yesterday after a burst of risk appetite and a positive report from Canada dragged USD/CAD 76 pips down to .9798, which is only a few pips away from its intraday lows. Boo yeah! Read more…

Australian Dollar (AUD)

The Australian dollar put the “TIGHT!” in “risk appetite!” The comdoll rose 145 pips against the U.S. dollar while gaining 105 pips versus the yen. Can it chalk up similar results today? Read more…

New Zealand Dollar (NZD)

Tough luck, huh? The Kiwi tried to make headway against the Greenback yesterday, with NZD/USD topping out at .8389. However, the pair was unable to hold on to its gains and closed 7 pips down from its .8332 open price. Read more…

Swiss Franc (CHF)

Even though USD/CHF gapped higher over the weekend, the pair was able to make quite a turnaround when it came close to the .8000 mark. From there, the pair retreated by almost 150 pips when it closed at .7856. What’s been driving the Swissy lately? Read more…

Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.

In forex trading, you get better odds at securing pips when your fundamental analysis is complemented by technical analysis.

Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!