Daily Forex Fundamentals – August 3, 2012

What’s on the Economic Horizon

Draghi Greatly Disappointed Investor Expectations
NFP Report Expected at 100,000 in July
U.K. Services PMI on Tap at 8:30 am GMT

U.S. Dollar (USD)

Though the Greenback wasn’t the life of the party yesterday, it came out victorious against its counterparts. EUR/USD capped the day below 1.2200 after tipping a high at 1.2400 while USD/CHF made a 170-pip recovery from its intraday low. Now that’s my kind of price action! Read more…

Euro (EUR)

The euro saw another case of “loose lips, sink pips” in yesterday’s trading. ECB President Mario Draghi’s speech sent the euro trading lower against its major counterparts. EUR/USD spiked up ti 1.2404 only to drop back down and close the day 43 pips below its opening price. Read more…

British Pound (GBP)

The pound found itself backed into a corner yesterday as both the BOE and the ECB interest rate decisions disappointed market participants. By the end of the U.S. trading session, the currency gave up 30 pips to the safe haven dollar and 64 pips to the low-yielding yen. Read more…

Japanese Yen (JPY)

When the high-yielding currencies start falling, you just know that the yen bulls will be busy taking advantage of it! USD/JPY slipped by 26 pips, while EUR/JPY and GBP/JPY sported huge spikes before capping the day at least 60 pips south of its open price. Booyah! Read more…

Canadian Dollar (CAD)

Without any economic data on tap, the Loonie fell victim to market sentiment yesterday. Sadly for the comdoll, ECB Draghi’s speech had traders flocking away from higher-yielding currencies and into the safety of the dollar and the yen. USD/CAD ended the day 22 pips higher at 1.0073 after tapping a low of 1.0002. Read more…

Australian Dollar (AUD)

Ooomph! After it tried breaking above 1.0550, AUD/USD got rejected fast and capped the day near its 1.0456 open price. Was it all thanks to Draghi, then? Read more…

New Zealand Dollar (NZD)

European currencies might have gone home bruised and battered yesterday but not the Kiwi! The Kiwi remained strong and actually posted a respectable gain versus the safe haven Greenback. From the Kiwi’s opening price at .8073, the currency had gone as high as .8173 before closing the U.S. trading session at .8092. Read more…

Swiss Franc (CHF)

Just like the euro, the Swissy suffered the wrath of the safe haven Greenback yesterday. USD/CHF, which started the U.S. trading session at .9831, closed the day 31 pips higher at .9862. 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!

  • JJ6845616

    Draghi says”Euro is irreversible”.How could he be so selfish now?

  • King Benny

    selfish, i dont think if the euro gets broken there’s a lot of people
    here who would fare well with it … i dont know if it gets held at all
    cost there’s a lot of people who will fare well with it either… todays
    nfp seems to have been a slumber party somehow … hardly any movement
    on eurusd … on top of that my system crashed smack dab in the middle
    … dud, boring :p