The Advisor Weblog

Best pair to trade now: GBP/JPY
Majors’ hourly perspective for Asian session
Gold falls, dollar rise
Japan Prime minister resigns
U.S. Pending Home Sales
Hourly perspective for majors’
Best pair to trade now: GBP/USD
Eur/Usd technical view
Majors’ sentiment for today
Starting late the day

Best pair to trade now: GBP/JPY

Posted: 05 Jan 2010 04:01 PM PST

Here is my choice for this session:

http://www.fxstreet.com/technical/forex-strategy/the-best-pair-to-trade-now/2010-01-05.v02.html

Majors’ hourly perspective for Asian session

Posted: 05 Jan 2010 03:38 PM PST

Always loved Asian session… maybe because everyone is sleeping around me and I’m finally alone with my charts! Anyway, here is the hourly perspective before Nikkei opening:

http://www.fxstreet.com/technical/analysis-reports/currency-majors-technical-perspective/2010-01-05.v04.html

Gold falls, dollar rise

Posted: 05 Jan 2010 11:16 AM PST

Gold is losing ground quickly and dollar is up across the board. Commodity currencies are quickly losing ground, with AUD/USD turning negative on the day as the pair approached to 0.9100 zone, (next supports come at 0.9070 and 0.9030 area) while USD/CAD is fighting around the 1.0400 as oil refuses to fell from $ 81 a barrel.
Gold reached an intraday low of $1115 at the moment of writing, still far from yesterday’s opening around $ 1100/oz, also well under the $ 1129 reached during past Asian session. Risk sentiment continues to be the main driver of currency markets today, with dollar regaining the upside also against European currencies, after yesterdays’ fall. EUR/USD reached an intraday low of 1.4345 and remains close to that zone and tending lower, afterbreaking the 1.4365 level; next support come at 1.4320 area. GBP/USD holds around the 1.5980 area, still with chances to test the 1.5940 zone. USD/CHF rose to 1.0350 area, where daily 20 SMA is capping the upside.
Only Japanese Yen remains positive on the day agaisnt greenback, after Japanese Prime Minister Fujii resign early today, yet slowly regaining the upside. Watch the 91.80 zone there.

Japan Prime minister resigns

Posted: 05 Jan 2010 08:22 AM PST

JPY halt its upside rally (bearish in charts) and starts to fall against major rivals after market know about the resign of Fujii. USD/JPY is back at the 92.60 area from an intraday low of 91.24, while GBP/JPY rebounded at 146.45 and approaches to 147.00 area. EUR/JPY is also rising after the news and quotes at 132.00, coming from an intraday low of 131.40.Japanese yen has been gaining ground since past Asian session, favored by Nikkei 225 rise and local exporters sellers, yet movement could be consider corrective, and Japanese yen likely to resume downtrend from current levels.

U.S. Pending Home Sales

Posted: 05 Jan 2010 07:09 AM PST

U.S. stocks decline at Wall Street opening, favoring a dollar and yen rally as in the old risk aversion days. (Not that old in fact! ). Gold also gave up some ground, still above $ 1120/oz, but down almost 10 bucks from daily high.

U.S. Pending home sales come out worse than expected quite negative at -16.0% against 3.9% past month while Factory Orders increased 1.1%. First reaction send stocks lower while currencies did not react to much. Let’s give market a couple of minutes to digest the news.

Hourly perspective for majors’

Posted: 05 Jan 2010 06:48 AM PST

Here is the hourly perspective for majors for the U.S. session:

http://www.fxstreet.com/technical/analysis-reports/currency-majors-technical-perspective/2010-01-05.v03.html

Best pair to trade now: GBP/USD

Posted: 05 Jan 2010 05:16 AM PST

Yesterday’s European choice did not went so fine as Asian one; let’s see if Pound behaves today. Here is my choice:

http://www.fxstreet.com/technical/forex-strategy/the-best-pair-to-trade-now/2010-01-05.html

Eur/Usd technical view

Posted: 05 Jan 2010 04:41 AM PST

Back inside last day’s range, but having broke to the upside, the fact that EUR/USD tested the 1.4485 area, opens doors for further rises as long as we remain above the 1.4400 level. Past hourly candle show we have no real strength to the downside, and that buyers have seize the chance quickly when pair approached to mentioned 1.4400 area. Flat indicators are telling as almost nothing, yet above 1.4440, pair likely to attempt a retest of the highs around 1.4485 ahead of stronger 1.4515 area. Supports, under 1.4400, lie at 1.4365 and 1.4320

Majors’ sentiment for today

Posted: 05 Jan 2010 03:58 AM PST

Here is majors’ sentiment for today:

Eur/Usd:Slightly Bullish

Gbp/Usd: Bearish

Usd/Chf: Bearish

Usd/Jpy: Slightly Bearish

Eur/Gbp: Bullish

Eur/Jpy: Bearish

Gbp/Jpy: Bearish

Starting late the day

Posted: 05 Jan 2010 03:47 AM PST

Hi everyone and welcome back! I can’t wake up early these days! Hot summer plus vacations that keep the girls running trough all the house late midnight (and so me) are keeping me away from early European session. Anyway! here I am, seeing that dollar fall extended in Asia, as risk appetite continued to improve: Nikkei close up, gold and oil extend the rally, and U.S. Treasury yields sunk, supporting the movement. Yet Pound continues moving against the tie and fell: disappointing Construction PMI plus some hesitation in investors in the BOE’s monetary policy meeting week could exacerbate the movement.

Dollar rebounded a little early Europe, yet only against European majors: commodities remain strong and so do CAD and AUD, that usually lead the way. Probably some consolidation there at current levels before a continuation. I’m still also seeing volume has not returned 100% after holidays, and it will take probably this week to do so.

Here is the link for todays' calendar:

http://www.fxstreet.com/fundamental/economic-calendar/

Have a great day!