- ADP report at 238K vs. 200K expected
- FOMC minutes shows no taper schedule
- USD/CAD trades above 1.0800
What rally?! The Greenback only edged slightly higher against its counterparts yesterday thanks to a disappointing FOMC meeting minutes release. The report hinted that while the Fed is willing to reduce its asset purchases in “measured steps,” it’s also not doing it at regular intervals. If you remember, investors had been hanging on to Bernanke’s proposal of a $10-billion monthly reduction.
Still, the Fed’s willingness to taper its QE was enough to push the dollar slightly higher against its counterparts. EUR/USD encountered resistance at the 1.3600 area while GBP/USD dropped 30 pips from its intraday high. Even the comdolls were caught in the USD strength as AUD/USD traded below .8900 for a while and USD/CAD broke above 1.0800.
Today we have Australia’s building approvals and retail sales as well as China’s inflation numbers on tap. The Loonie has been the only comdoll under the spotlight this week but today’s reports could shift attention on the Aussie. Watch your Aussie trades closely!
Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!