Daily Forex Fundamentals – June 7, 2012

What’s on the Economic Horizon

Swiss CPI due at 7:15 am GMT
French and Spanish bond auctions on tap
BOE rate decision to rock markets
Canadian Ivey PMI expected to rise to 53.5
Ben Bernanke to testify

U.S. Dollar (USD)

The dollar took some big hits on the charts yesterday as Fed officials signaled more willingness to ease monetary policy. In response, the markets began shedding dollars, sending EUR/USD up 124 pips and GBP/USD up 121 pips. Is this the big reversal that dollar bears have been waiting so long for? Read more…

Euro (EUR)

The euro may have been quiet early on but the bulls sure know how to end the day with a bang! After finding a tough time trading above 1.2500, EUR/USD finally broke higher late in the New York session to finish the day at 1.2578, up 124 pips from its opening price. Read more…

British Pound (GBP)

Make way for the pound! After chillin’ like ice cream fillin’ around resistance at 1.5400, GBP/USD finally rallied past the handle yesterday. In fact, the pair even tested the 1.5500 handle before closing the day at 1.5496 with a 112-pip gain. Read more…

Japanese Yen (JPY)

The BOJ must’ve felt extremely relieved after seeing the yen sell off yesterday. It lost massive pippage against its two biggest counterparts as USD/JPY rallied 52 pips to 79.26 and EUR/JPY rose 163 pips to 99.69. Will we see more of the same today? Read more…

Canadian Dollar (CAD)

With risk appetite making a nice comeback, comdolls like the Canadian dollar made a sweet rally up the charts yesterday. USD/CAD broke through key support to finish 100 pips lower at 1.0279. Read more…

Australian Dollar (AUD)

Up, up, and awaaaay! The Aussie posted its biggest rally for 2012 as upbeat economic data lifted AUD/USD 184 pips to .9927. Next stop, parity? Read more…

New Zealand Dollar (NZD)

Fly, Kiwi! Fly! That’s exactly what the commodity currency did in yesterday’s trading. NZD/USD flew past resistance at psychological handles to close the day 144 pips above its opening price at .7708. Read more…

Swiss Franc (CHF)

Now, that’s what I call a comeback! After giving up some ground to the dollar on Tuesday, the Swiss franc erased all of its losses against the dollar yesterday. USD/CHF closed the day 100 pips below its opening price at .9543. 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!