Article Highlights

  • NZ visitor arrivals up by 0.1% vs. 1.1% in April
  • NZ credit card spending at 0.0% vs. 2.4% increase in April
  • AU MI leading index up by 0.2% vs. downwardly revised 0.1% uptick in April
Partner Center Find a Broker

A pretty weak trading session for the dollar, as a lack of major reports encouraged forex traders to take a closer look at Yellen’s testimony.

Major Events:

Data releases from Australia and New Zealand New Zealand’s visitor arrivals report inched 0.1% higher in May, a bit weaker than April’s 1.1% growth. The details of the report are a bit more optimistic though.

The country welcomed 193,600 visitors in May, a new record for the month and marks a 10% increase from the previous year. Since tourism is one of New Zealand’s money-makers, the report was a welcome one for the Kiwi bulls. Meanwhile, Australia’s MI leading index came in at 0.2%, higher than April’s 0.1% uptick.

Yellen testimony aftermath – The Greenback gave up a few pips following Janet Yellen’s testimony yesterday. If you recall, the Fed head honcho had repeated the Fed’s plan to wait for more data before making any changes to their policies. At the end of the day more forex traders were convinced that the Fed isn’t likely to hike its rates in July, which weighed on the dollar.

Brexit, Brexit, and more Brexit – With only a few trading sessions away from the EU referendum vote, forex market players are paying even more attention to Brexit-related headlines. The “Remain” camp seems to have strengthened its grip on its lead, which made a lot of risk-takers happy. Will this continue to be the case during the London session?

Major Market Movers:

USD – Whether it’s Yellen’s less-hawkish-than-expected testimony or the overall risk appetite in the markets, the low-yielding Greenback lost pips across the board.

USD/JPY slipped by 27 pips (-0.26%), GBP/USD popped up by 58 pips (+0.40%), and EUR/USD inched 13 pips higher (+0.12%) to 1.1266.

Comdolls – Commodity-related currencies had a good trading session against the Greenback thanks to strong domestic economic reports boosting the Aussie and the Kiwi and higher oil prices pushing the Loonie higher.

AUD/USD popped up by 10 pips (+0.13%), USD/CAD slipped by 25 pips (-0.20%), and NZD/USD rose by 21 pips (+0.30%).

Watch Out For:

  • 10:00 am GMT Switzerland ZEW economic expectations (17.5 previous)

See more:

U.S. Session Forex Recap

Bonnie and Clyde, peanut butter and jelly, Kanye West and Kanye West. 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!