EURUSD slips to its lowest level in 2018

|
Market Recap |
% |
Close Price |
|
NATGAS(Feb 18) |
1.43% |
2.835 |
|
USDZAR |
0.59% |
12.385 |
|
USDSEK |
0.55% |
8.2024 |
|
AUDUSD |
-0.28% |
0.7842 |
|
XAGUSD |
-0.51% |
17.1340 |
|
EURUSD |
-0.52% |
1.1967 |
-
The euro recorded its largest decrease in more than six weeks. The currency fell 0.52% to 1.1976 as continued uncertainty surrounding the German government formation weighed on the pair. Positive consumer confidence data failed to give EURUSD a boost. European equities advanced across the board with the EURO STOXX 50 up 0.24% to 3,616.45.
-
US indices gained for a fifth straight day with the S&P500 closing at a new record of 2,747.71. Investors are optimistic for the tax cuts impact and earnings releases that start this week. The 10-year treasury yield traded flat at 2.48%.
-
Gold was little changed, closing at $1320.40. The active WTI crude oil contract rose 0.50% to $61.72 a barrel.
|
Tuesday January 09, 2017 CET Time |
Forecast |
Previous | ||
|
08:00 |
EUR |
German Industrial Production (MoM) (Nov) |
1.9% |
-1.4% |
|
08:00 |
EUR |
German Trade Balance (Nov) |
20.7B |
19.9B |
|
09:15 |
CHF |
Retail Sales (YoY) (Nov) |
-2.5% |
-3.0% |
|
10:00 |
EUR |
Unemployment Rate (Nov) |
8.7% |
8.8% |
|
11:00 |
EUR |
Retail Sales (MoM) (Nov) |
-0.7% |
-1.1% |
|
14:15 |
CAD |
Housing Starts (Dec) |
240K |
252.2K |
|
16:00 |
USD |
FOMC Member Kashkari Speaks |
|
|
|
16:00 |
USD |
JOLTs Job Openings (Nov) |
6.050M |
5.996M |
|
22.30 |
USD |
API Weekly Crude Oil Stock |
|
-4.992M |
Economic Calendar commentary
Germany’s industrial production rose 3.4% versus the estimated 1.8%, lifting the euro slightly higher earlier this morning. Euro area unemployment rate, scheduled for 11:00 CET, is forecasted to decrease to 8.7% from 8.8%. The calendar remains thin today with Canadian housing starts in the afternoon forecasted to retrace from previous record release to 240,000. JOLTS job openings (16:00 CET) are forecasted to rise to 6025K.
Chart of the day
NATGAS (Daily Timeframe)
The price of Natural Gas future (February) contract continued to bounce away off its 21-day moving average and rises towards a cluster of resistance represented by November’s low and the 38.2% Fibonacci retracement of September to December high to low move. A break of 2.90 should see the commodity trade up to a key resistance level by 2.9950. A break lower of 2.78 will see it resume its bearish path to test recent lows at 2.5620.
Technical Analysis
FTSEMIB (Daily timeframe)
FTSEMIB index broke above a sloping trendline and looks on course to test the 23000-key psychological level and recent multi-year high by 23133. The failure to complete a head and shoulders reversal pattern and bounce back above the neckline is extremely positive for bulls. Only failure to break above 23000 and a drop back below 22000 could see the index enter a consolidation phase.
EURUSD (Daily timeframe)
The EURUSD pair trades at its lowest in two weeks. The level to watch is between 1.1950-1.1960. if the pair drops below 1.1950-1.1960 we could see a pullback to 1.1900. EURUSD seems to be building a bearish correction within an uptrend. If the pair holds above 1.1960 it could resume strength to target again 1.2088.
Author

ALB Team
ALB Forex Trading
ALB Research Department is the research department of ALB Forex Trading Ltd.


















