Daily Forex Fundamentals – October 19, 2011

What’s on the Economic Horizon

U.S. CPI and Housing Data on Tap
Euro Zone Current Account Deficit Narrowed in August?
BOE Meeting Minutes Coming Up

U.S. Dollar (USD)

Mixed results for the dollar, which gained versus the pound and euro, but fell victim to comdolls in yesterday’s trading action. Could we see more of the same today as we hit the middle of the week? Read more…

Euro (EUR)

Aha! It looks like the euro won against the dollar in yesterday’s tug-o-pips despite bad economic reports. EUR/USD hit a Tokyo session high of 1.3789 and dipped to an intraday low of 1.3652. Euro bulls then hustled some muscle and settled the pair 20 pips above its opening price at 1.3765 by the end of the day’s trading. Read more…

British Pound (GBP)

If you’re a fan of roller coasters, then you would’ve loved the Cable’s price action yesterday. Early in the day, Cable was one of the biggest losers, falling almost 200 pips from its intraday high at 1.5823. However, the losses proved to be temporary as risk appetite during the U.S. trading session propped it up. By the end of the day, Cable sat at 1.5703, 24 pips lower from its opening price. Read more…

Japanese Yen (JPY)

The yen followed the flow of risk sentiment yesterday, as it took advantage of the poor performance of European currencies, but lagged behind the comdolls. Read more…

Canadian Dollar (CAD)

Ka-pow! Take that, dollar! Thanks to the pick-up in risk appetite, the Loonie was able to pare some of the losses it incurred on Monday during yesterday’s trading. USD/CAD dropped from its intraday high of 1.0265 to close the day 78 pips below its opening price at 1.0144. Read more…

Australian Dollar (AUD)

Thanks to a wave of risk appetite during the New York session, the Aussie was able to recover its losses from earlier in the Tokyo session. AUD/USD rose over 100 pips from its opening price before finally settling at 1.0275, marking an 87-pip gain for the day. Read more…

New Zealand Dollar (NZD)

Stay strong, Kiwi. Despite risk aversion from the weaker-than-expected Chinese GDP, the Kiwi was able to stay afloat in yesterday. After dipping as low as .7861, NZD/USD actually closed the U.S. trading session at .7952, which was 30 pips higher from its opening price that day. Read more…

Swiss Franc (CHF)

Due to combination of good and bad news, the Swissy was unable to find clear direction and formed a doji on the daily chart. USD/CHF ended the day at .8982, just 5 pips lower from its opening price during the Asian session. 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!