- Australia’s MI inflation gauge up by 0.1% in Sept
- Chinese and Australian banks on holiday today
- British Business Secretary Vince Cable: GBP is overvalued by 10-15%
- German factory orders report due
Dollar bulls, retreat! The Greenback returned some of its recent forex gains from last Friday, thanks to the lower liquidity in today’s Asian session. USD/JPY dipped to a low of 109.47 while GBP/USD pulled up to a high of 1.5988 in the past few hours. EUR/USD is moving sideways above 1.2500 and USD/CHF gapped up to 0.9688 then slid to a low of .9667.
Over the weekend, British Business Secretary Vince Cable remarked that the pound is overvalued by 10-15% and is starting to hurt exports. With that, the pound resumed its forex selloff to the yen earlier in the day, as GBP/JPY fell to the 175.00 support zone.
Australia reported a 0.1% uptick in its MI inflation gauge for September after the figure stayed flat in the previous month. AUD/USD is up 0.29% and is moving closer to the .8700 mark while NZD/USD is up 0.13% at 0.7774.
The forex calendar shows that data is light in the upcoming London session, with only the German factory orders report up for release. It could print a 2.4% decline for August, following the previous month’s 4.6% increase. Euro zone retail PMI and Sentix investor confidence figures are also due, with weak results likely to push the shared currency much lower.
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!