- Japanese Dec manufacturing PMI downgraded from 52.1 to 52.0
- German preliminary CPI and Spanish jobs report due
Dollar domination, baby! The U.S. currency extended its rallies against its forex counterparts in today’s Asian trading session, as risk sentiment continued to drive price action. EUR/USD is down 0.54% and is trading below the 1.1950 minor psychological mark, GBP/USD is looking at a 0.31% loss, and USD/JPY is up 0.06% at the 120.50 level.
The comdolls suffered sharper declines, with AUD/USD down 0.50% and hitting its lowest level since 2009. NZD/USD is facing an 0.81% loss so far while USD/CAD is up 0.23%. Analysts blame the continuous drops in commodity prices and global growth concerns for the recent comdoll selloff.
While the euro has been under heavy selling pressure ahead of the Greek snap elections and talks of a potential euro zone exit, the upcoming data from its top member nations could also have a significant effect on forex price action. Germany is set to release its preliminary CPI reading for December and possibly show a 0.1% uptick in prices. Meanwhile, Spain will show its employment change reading at 9:00 am GMT and probably indicate a 72K decline in joblessness, which might keep the euro afloat.
In Switzerland, the SVME PMI is up for release and it might show an improvement from 52.1 to 52.9, which would reflect a stronger expansion in the manufacturing industry. Weaker than expected data, however, could lead to more franc weakness especially since the SNB has just announced negative deposit rates.
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!