Mike Paterson’s Daily Forex Brief
Just prior to Friday’s US Non Farm Payrolls data EURUSD had dipped below 1.3000 and was looking to test the big 1.2980 level but an NFP number of +155k failed to live up to expectations and we saw a sharp reversal.
This move finally breached sell levels around 1.3065 and we saw highs of 1.3084 but overnight in Asia we’ve seen a move lower again, aided by a decent amount of EURJPY selling after the latest rhetoric from Japanese PM Abe failed to weaken the Yen further.
EURUSD is currently back down to 1.3025 and GBPUSD has been down to 1.6021 having also rallied on Friday, peaking at 1.6083.
EURGBP is still in its own little groove around 0.8120 and the Pound overall continues to be a mixed bag with the Aussie dollar regaining some poise to send AUDUSD back above 1.0500 and GBPAUD below 1.5300.
Nothing much in the way of data today so we can expect the usual Monday malaise but there’s plenty coming up this week, including the BOE and ECB interest rate/QE decisions on Thursday.
And there’s only one sports story of note to report, that of the mighty Shrimpers’ comeback on Saturday to force a replay and then yesterday’s 4th Round draw which sees them pitched against Chelsea again should we get through. Bring it on!
Have a good week everyone.
Interbank Rates at 08:02 BST
Today’s Data: BST
10.00-EU – Eurozone PPI
13.30-US – Non Farm Payrolls / Unemployment Rate
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Mike ‘Oscar’ Paterson has been in the Forex trenches for nearly three decades working as a senior Spot trader in London at UBS, Chief Dealer FX at the State Bank of Victoria and in charge of Spot CHF at Credit Suisse with a daily turnover in excess of $1.5 billion. Mike now works as an independent consultant providing a fully bespoke service to the corporate and private sectors in physical FX delivery as well as guiding those who wish to improve their currency trading. Mike also presents seminars and workshops and writes for a number of publications.
To contact Mike please call +0044 (0) 1732 700383 or email firstname.lastname@example.org
The views expressed above are those of the author and should not be taken as investment advice. MSP Foreign Exchange Services will have no liability for, or to, any persons executing trades based on the content above.