Daily Forex Fundamentals – August 23, 2012

What’s on the Economic Horizon

Japan’s trade deficit wider than expected
FOMC meeting minutes hint at more stimulus
Canadian retail sales contract by 0.4%

U.S. Dollar (USD)

The dollar got its butt kicked yesterday just like Jean-Claude Van Damme did in The Expendables 2. EUR/USD finished the day 54 pips above its opening price at 1.2522 while GBP/USD closed with a 91-pip gain at 1.5867. On the other hand, USD/JPY was 70 pips lower from its opening price at 78.54. Read more…

Euro (EUR)

EUR/USD had traded sideways for the majority of Asian and European trading session but suddenly burst into life when the FOMC meeting minutes came out. EUR/USD, which had started the day 1.2564, ended the U.S. trading session 58 pips higher at 1.2522. Read more…

British Pound (GBP)

Mixed results for the pound yesterday, as it soared higher versus the dollar but got lit up by the yen. GBP/USD broke out of its recent range to finish at 1.5867, 91 pips higher on the day. Meanwhile, GBP/JPY threated to make new highs above 125.50, but lost momentum and eventually finished at 124.62, down 39 pips from its opening price. Read more…

Japanese Yen (JPY)

Aha! It looks like the yen was able to tap its inner ninja in yesterday’s trading, sneaking pips away from its counterparts despite negative data. USD/JPY closed the day lower at 78.54 after opening at 79.24. Meanwhile, EUR/JPY finished the day 42 pips below its opening price at 98.34. Read more…

Canadian Dollar (CAD)

For the second day in a row, the Loonie lost in the battle for supremacy versus the safe haven Greenback. Apparently, commodity prices were generally weaker yesterday, which resulted in the Loonie being sold off. Oil was unable to rise and remained unchanged around $97 while gold fell to $1,639. Read more…

Australian Dollar (AUD)

Just when everyone thought the Aussie was going to end the day in the bear lair, the comdoll pulled off a massive comeback! AUD/USD traded all the way down to 1.0414 after opening at 1.0475. Then, Aussie bulls stepped up their game and rallied to close the day at 1.0502. Read more…

New Zealand Dollar (NZD)

Make that three in a row homie! Thanks to broad dollar weakness and a slight improvement in risk appetite, NZD/USD stayed afloat in yesterday’s trading action and posted a 27-pip gain to finish at .8128. Read more…

Swiss Franc (CHF)

The franc is on fire baby! For the second day in a row, the franc destroyed the dollar, as USD/CHF fell another 44 pips to close at .9592. Will the franc bulls go for three in a row? 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!