Good morning from very cold Hamburg and welcome to our Daily FX report. The JPY fell against 14 of its 16 major counterparts. Also the CHF can`t provide a successful trading week. Anyway, we wish you a good trading day and a successful finish in this week.


Market review

The USD declined versus the EUR to 1.4654 for a second day as growing evidence of the global economic recovery stokes demand for higher yielding assets. The GBP could gain against the USD to 1.6126 but had suffered losses versus the EUR to 0.9152. The JPY dropped against 14 of its 16 major counterparts. There aren’t any particular reasons for the JPY to strengthen and it will not expect that the JPY extend its recent gains, said the finance minister from Japan about his currency. Last week, the JPY reached an eight month high after speculation, that the government won`t step into the currency market. The finance minister from Japan even expects that the JPY will probably trade between 90.00 and 95.00 and may approach to 100.00 in a few months. In Europe, the CHF dropped the most in three months against the EUR amid speculation the central bank sold the currency to curb its advance. The CHF made the biggest slide since June 2009 and fell 0.8% versus the 16-nation currency to 1.5180.


AUD/JPY

AUDJPY

Since the middle of September, the AUD/JPY has been trading in a bearish trend. For a few days, the AUD recovered and started an upward trend channel. Now, the currency pair approaches to its resistance at 79.90. Many times before, when the AUD reached the resistance, the prices rebounded. Also the RSI may indicate a weakening trend and may support a counter trend movement.


EUR/GBP

EURGBP

Since the beginning of the September, the EUR/GBP has been trading along a bullish trend line. After a short downward correction, the EUR recovered to its support level at 0.9056 and has been starting a pull back. Furthermore it seems that the MACD indicator will cross the signal line from below. This may indicate for an ongoing of the bullish trend. The next resistance could be around 0.9291.