Daily Forex Fundamentals – May 23, 2011

What’s on the Economic Horizon

U.S. Preliminary GDP to Provide Volatility This Week
Manufacturing and services PMIs Due from Euro Zone today

U.S. Dollar (USD)

Friday turned out to be a very good for the dollar as it was able to post some nice gains against other major currencies. The U.S. dollar index, which tracks the performance of the Greenback versus a basket of currencies, sat at 76.08 by the end of the U.S. trading session, 54 percentage points higher from its opening level that day. Read more…

Euro (EUR)

While the Batman team was busy hyping up Bane from “The Dark Knight Rises,” the market was busy watching “The Weak Euro Falling.” Okay, maybe it wasn’t as cool as Tom Hardy in a poster, but it was definitely more interesting! For one, EUR/USD dropped by a whopping 154 pips to 1.4156, while EUR//JPY also slipped by 104 pips to 115.63. Read more…

British Pound (GBP)

Although the pound got away with only a 17-pip win from the dollar on Friday, don’t think that trading was easy-breezy for the pound bulls! After getting rejected at 1.6250, GBP/USD tumbled to its intraday low at 1.6167. Good thing the pair found enough support and it bounced back to peak at 1.6304 before ending the day at 1.6249. Read more…

Japanese Yen (JPY)

Did the yen really win? While it was able to post a solid gain versus the euro, the yen was barely changed against other major currencies by the end of the U.S. trading session. USD/JPY, for instance, closed Friday at 81.68, a mere 16 pips higher from its opening price that day. Read more…

Canadian Dollar (CAD)

Just like Happy Pip’s trade early this month, the fourth time wasn’t the charm for the Loonie as weak economic data from Canada and reduced expectations of a BOC interest rate hike broke the falling streak of USD/CAD. The pair only went down to an intraday low of .9641 before it ended the day 41 pips higher at .9641. Read more…

Australian Dollar (AUD)

Booooooooooooring! Due to the absence of economic data, the Aussie snoozed it’s way across the charts yesterday. Against the dollar, the Aussie ended the day unchanged at 1.0672. Versus the yen, the Aussie was able to post a small 17-pip gain. Read more…

New Zealand Dollar (NZD)

The Kiwi stood out among the comdolls in Friday’s trading as it scored its fourth consecutive win against the dollar. After opening at .7904, NZD/USD hustled to test the .8000 handle before ending the day at .7973. Read more…

Swiss Franc (CHF)

The Swissy posted a 156-pip win against the euro on Friday. Sha-bam! Now that’s how you end the week with a bang! EUR/CHF tumbled from its intraday high at 1.2648 and closed the week at 1.2446. 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!