Daily Forex Fundamentals – November 24, 2011

What’s on the Economic Horizon

Thanksgiving Day low liquidity
German IFO business climate to worsen
U.K. GDP expected to stay at 0.5%

U.S. Dollar (USD)

Dollar bulls certainly have plenty to be thankful for this Thanksgiving as the dollar racked up wins across the boards yesterday! With risk aversion fueling demand for the safe haven, the dollar had an easy time gaining ground against its major counterparts. EUR/USD finally broke out of its range, falling 176 pips to close at 1.3337, while USD/JPY climbed above 77.00 to finish the day at 77.35. What can we expect to see now that U.S. bankers are out celebrating Thanksgiving? Read more…

Euro (EUR)

The euro bears just couldn’t resist going out with a bang, couldn’t they? Just before the U.S. traders packed up to make their favorite Turkey Day stuffing recipe, the euro experienced a sharp selloff across the board. EUR/USD, for example, took out stops below 1.3400 and ended the day with a 1% drop at 1.3337. What the heck happened? Read more…

British Pound (GBP)

Aaaand the pound is back in action! After consolidating for almost a couple of days, pound pairs broke out of their ranges and made strong moves yesterday. GBP/USD tumbled from its 1.5639 open price to close at 1.5517 while GBP/JPY managed to end 2 pips above the 120.00 handle. Read more…

Japanese Yen (JPY)

Finally, a bit of consistency! The yen easily trampled all of its higher-yielding counterparts as risk aversion continued to dictate price action on the charts. The strong demand for the Japanese currency forced many yen crosses to forge new lows. For instance, EUR/JPY finally broke out of its range, falling 85 pips to end the day at 103.17. Read more…

Canadian Dollar (CAD)

The Loonie’s price action against the Greenback yesterday was as slippery as the falling oil prices in the markets. USD/CAD traders ignored the doji on the daily time frame and proceeded to push the pair 107 pips higher to 1.0484. Read more…

Australian Dollar (AUD)

…And the losing streak continues! For the third day in a row, the Australian dollar struggled to find buyers and found itself depreciating in value. It lost 151 pips against the Greenback as AUD/USD closed at .9693, while AUD/JPY stepped down 80 pips to end at 74.97. Read more…

New Zealand Dollar (NZD)

Make that eight! The Kiwi extended its losses against the dollar for yet another day as risk aversion stayed in the markets. NZD/USD chalked up its EIGHTH red candle on the daily chart as the pair closed 78 pips below its .7477 open price. Will the Kiwi be able to end this losing streak or will it go on for another day? Read more…

Swiss Franc (CHF)

Ooh, that burns! The Swiss franc’s latest gains were snatched back by the U.S. dollar yesterday, forcing USD/CHF to close 60 pips up from its .9141 open price. Good thing the Swissy was able to end up positive against the euro as EUR/CHF ended 17 pips below the 1.2300 handle. 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!