Daily Forex Fundamentals – December 19, 2011

What’s on the Economic Horizon
New Zealand business confidence down in Dec
Euro zone current account balance due today
Australian CB leading index to post another uptick?

U.S. Dollar (USD)

The Greenback probably needed a breather last Friday as it paused from its rallies and ended lower against most of its major counterparts except for the Loonie. Did we really see an improvement in risk sentiment or was that just a slight pullback? Read more…

Euro (EUR)

Well, well, well… Look who was able to end the week with back-to-back wins! Despite weak trade balance data and the ongoing discussions on the European debt crisis, the euro traded higher last Friday. It posted its second win in a row against the dollar, rising 24 pips to end the week at 1.3037. Did we just witness a dead cat bounce or is this a legit reversal in the works? Read more…

British Pound (GBP)

With no economic data from the U.K., it was up to the currency bulls and bears to battle with both risk aversion in the markets and the positive economic reports from the U.S. Cable ended up rising by 13 pips from its open price, while GBP/JPY capped the day with a near doji at 120.75. Read more…

Japanese Yen (JPY)

Talk about keeping it tight! The yen pairs stayed inside their respective ranges last Friday as safe-haven rallies eased. USD/JPY closed 19 pips below the 78.00 handle while EUR/JPY ended at 101.37. Are the yen pairs in for breakouts today? Read more…

Canadian Dollar (CAD)

It stops at one! The Canadian dollar was unable to follow up its win on Thursday with another victory as USD/CAD rose 13 pips to close at 1.0370. And so far, it isn’t doing so well to start the week! Will it continue to slide down the charts? Read more…

Australian Dollar (AUD)

Despite the rebound in risk appetite last Friday, AUD/USD was unable to land back above parity as the 1.0000 held as strong resistance during the day. Still, the pair managed to close 58 pips above its .9914 open price. Read more…

New Zealand Dollar (NZD)

Whoever said comdoll trading is boring probably hasn’t seen the Kiwi’s price action last Friday! With no economic reports scheduled from New Zealand, the Kiwi bulls traded on risk sentiment and commodity price action. NZD/USD went up for the second day in a row, this time rising by 86 pips to .7611. Read more…

Swiss Franc (CHF)

Day two of the bulls and bears battle belonged to the franc bulls last Friday as Switzerland’s economic reports and the SNB’s lack of action on the franc strength kept the demand for the low-yielding franc steady. USD/CHF fell by another 40 pips to .9364, while EUR/CHF also dropped by 30 pips to 1.2208. Read more…

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