- US new home sales: 468K vs. 546K expected, 529K previous
- NZ trade deficit balloons to 1.22B NZD vs. 0.83B NZD deficit expected, 1.08B NZD deficit previous
Forex trading was a mixed bag of nuts during the U.S. session, thanks to a lack of major reports on the docket.
The main feature throughout the session was the U.S. new home sales numbers. The report reflected an 11.5% drop in September, its largest decline since September 2013. Sales clocked in at 468,000 units, its lowest level since November 2014, while August’s figure was revised lower from 552,000 to 529,000 units.
Not surprisingly, the dollar got knocked down by a few pips at the report’s release. After all, a weaker-than-expected housing data would only help the Fed delay its interest rate hike. The bearishness didn’t last long, however, probably due to the fact that the report also tends to be volatile due to its small sample size.
EUR/USD ended the session with a 38-pip gain (+0.35%) to 1.1051 while GBP/USD also popped up by 5 pips (+0.03%) to 1.5349 after hitting an intraday high of 1.5381.
The lower-yielding currencies were mixed against the Greenback with USD/JPY slipping by 3 pips to 121.01 after hitting an intraday low of 120.61 while USD/CHF still inched 11 pips higher (+0.11%) to .9827.
The forex calendar is empty for the next couple of hours, so you might want to take the time to check out your charts for possible trade opportunities. Check out Happy Pip’s Comdoll Trading Kit or Cyclopip’s Weekly Watch for potential inflection points you need to watch on the comdoll and currency cross charts!
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