Daily Forex Fundamentals – July 7, 2011

What’s on the Economic Horizon

Is an ECB Rate Hike Enough To Boost the Euro?
BOE Rate Statement: Non-event?
CAD: Ivey PMI Expected to Show Slowdown

U.S. Dollar (USD)

Greenback: thine name is victory! Due to the overall pessimistic sentiment of the market, the safe haven dollar, along with the yen, was able to dominate the charts yesterday. By the end of the U.S. trading session, the dollar was able to post a decent 66-pip gain over the pound and an impressive 114-pip win over the euro. Read more…

Euro (EUR)

Ka-pow! The euro once again got punched in the gut in yesterday’s trading as sovereign debt issues choke-slammed investors’ appetite for risk. EUR/USD closed 114 pips at 1.4309 while EUR/JPY ended the day 108 pips below its opening price. Read more…

British Pound (GBP)

Mixed day for the pound, which weakened against safe haven currencies like the dollar and yen but managed to gain versus the euro. With the Bank of England set to release its interest rate decision later tonight, what’s in store for the pound today? Read more…

Japanese Yen (JPY)

It’s on like Donkey Kong!!! With risk aversion still weighing on the markets, the yen soared higher against the European currencies. EUR/JPY fell 108 pips to close at 115.81, while GBP/JPY dropped 73 pips to end the day at 129.47. Read more…

Canadian Dollar (CAD)

Once again, the comdolls got their hineys whooped by the Greenback in yesterday’s trading. The Loonie, in particular, lost 25 pips when USD/CAD ended the day at .9656 despite positive data from Canada. Read more…

Australian Dollar (AUD)

Yes, the Aussie lost out once again, but it was nothing compared to what happened earlier in the week. After trading as low as 1.0655, AUD/USD managed to withstand the wave of risk aversion that hit the market to close at 1.0686, just 6 pips lower for the day. Read more…

New Zealand Dollar (NZD)

Range, range, range. Despite the overall aversion to risk of the market yesterday, the Kiwi was able to stay afloat. NZD/USD mainly traded between a tight range with resistance at .8300 and support at .8245. By the end of the U.S. trading session, NZD/USD was trading at .8258, barely changed from its opening price at .8245. Read more…

Swiss Franc (CHF)

When there’s a will, there’s a way! Despite giving up some ground to the dollar during the Asian session, the Swissy was able to fight back and actually end the U.S. trading session with a small gain. By the end of the day, USD/CHF was trading at .8393, 13 pips lower from its opening price. Read more…

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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!