28 Nov 2014
US Session: All hail the king, (AKA the greenback)
FXStreet (Guatemala) - The market today was once again dominated by OPEC’s news as US traders returned to their desks for half a day’s work (or a three years worth fitted into one session) to pick up from where we left off overnight in Asia and Europe.
The demand for the dollar remained the theme with oil dropping below $70 for the first time since 2010. Gold was also a $10 trade to the downside as longs get squeezed or bail themselves out ahead of the Swiss referendum on the weekend.
Forex positions were squared up ahead of month end and eyes are now set for the remaining weeks of the year, (with an interesting Monday morning by the looks of it!) which should prove volatile with plenty to get stuck into.
EUR/USD was a rally in Europe on positive to neutral data but those gains were given back to the greenback into the US shift and the highs at 1.2491 were short lived within a range down to 1.2427 and we settled back to the mid point of the handle once position were squared off for the month.
GBP/USD on the other hand was more of a one way bet and was simply offered continuously post the European session when the pair broke down through the 1.57 handle under 1.5720 support and until late US afternoon with a modest bounce to finish up at 1.5640 from the lows of 1.5614.
USD/JPY was a rally up to the highs for the week extending Asia and European while Oil stocks were continuing to unwind on devastating trading on the oil floor and putting continued demand in for the greenback. 118.75 capped the advancement on the handle and the pair took a step back to finish up in the mid 118.60’s.
USD/CAD began to level out after a day of further gains in the ascending channel and up to test 1.1440 after the impressive rally from the lows in 1.1365, smashing through the psychological 1.14 handle with conviction in early US. OPEC and oil prices continue to weigh heavily on the Canadian dollar and outweighed the better than expected GDP figures from Canada today at 2.8% vs 2.1% consensus yet still lower than previous 3.6%.
The demand for the dollar remained the theme with oil dropping below $70 for the first time since 2010. Gold was also a $10 trade to the downside as longs get squeezed or bail themselves out ahead of the Swiss referendum on the weekend.
Forex positions were squared up ahead of month end and eyes are now set for the remaining weeks of the year, (with an interesting Monday morning by the looks of it!) which should prove volatile with plenty to get stuck into.
EUR/USD was a rally in Europe on positive to neutral data but those gains were given back to the greenback into the US shift and the highs at 1.2491 were short lived within a range down to 1.2427 and we settled back to the mid point of the handle once position were squared off for the month.
GBP/USD on the other hand was more of a one way bet and was simply offered continuously post the European session when the pair broke down through the 1.57 handle under 1.5720 support and until late US afternoon with a modest bounce to finish up at 1.5640 from the lows of 1.5614.
USD/JPY was a rally up to the highs for the week extending Asia and European while Oil stocks were continuing to unwind on devastating trading on the oil floor and putting continued demand in for the greenback. 118.75 capped the advancement on the handle and the pair took a step back to finish up in the mid 118.60’s.
USD/CAD began to level out after a day of further gains in the ascending channel and up to test 1.1440 after the impressive rally from the lows in 1.1365, smashing through the psychological 1.14 handle with conviction in early US. OPEC and oil prices continue to weigh heavily on the Canadian dollar and outweighed the better than expected GDP figures from Canada today at 2.8% vs 2.1% consensus yet still lower than previous 3.6%.