Article Highlights

  • US flash manufacturing PMI: 53.8 vs. 53.6 expected and previous
  • US new home sales: 0.48M vs. 0.55M expected, 0.52M previous
  • Commodity prices and comdolls took more hits
  • Fed accidentally releases staff projections
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Forex price action was mixed during the U.S. session, as a lack of catalysts inspired extensions of intraday trends for some traders and end-of-week positioning among others.

A one-two punch brought down the dollar against some of its counterparts. For starters, Uncle Sam’s new home sales data fell to a seven-month low in June with May’s numbers also revised lower. The manufacturing report somewhat eased the sting with its 53.8 print when analysts had been expecting a 53.6 figure.

The second punch came a couple of hours later when the Fed accidentally printed the staff economic and interest rate projections, something that would be used in this week’s FOMC meetings. Though the Fed was quick to say that the numbers have no bearing on the members’ decisions, some market players had already priced in the slightly lower economic projections.

These reports, and possibly profit-taking ahead of the weekend, are what brought EUR/USD 45 pips higher (+0.41%) to 1.0978 while USD/JPY slipped by 28 pips (-0.23%) to 123.80 and GBP/USD 35 pips higher (+0.23%) to 1.5510.

The comdolls also had a good session against the Greenback though traders of commodity-related dollars still couldn’t get over the miss in China’s recent manufacturing numbers and the persistent weaknesses in gold an oil prices. Gold nearly dipped to its 5 ½-year low while oil prices closed at its lowest levels since March. Yowza!

AUD/USD got a reprieve with a 21-pip spike (+0.29%) to .7278 while USD/CAD hit a 10-year high of 1.3103 before settling 52 pips lower (-0.40%) to 1.3034 and NZD/USD inched 9 pips higher (+0.14%) to .6573.

The docket is void of tier 1 news events for today’s Asian session forex traders, so you might want to take the time to watch the charts for trading opportunities. Hit up Cyclopip’s Weekly Watch and Happy Pip’s Comdoll Trading Kit for possible inflection points on the major currency pairs!

See also:

London Session 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!