Forex Market Updates & Commentary

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EURUSD watching support at the 1.4437-40 level today
The NY Morning Forex Commentary for July 27th
US Durable Goods Fall
US Durable Goods Due at 8:30AM
UK MBA mortgage applications (July) -5.0% vs. 15.5% prior.
According to former PBOC adviser, Yu Yongding, the PBOC must reduce intervention in FX markets.
UK CBI manufacturing confidence -10; worse than expected.
Swiss KOF barometer (July) 2.04 vs. 2.11 expectation.
IMF likely to contribute less than a third of official lending in the new Greek aid according to sources.
Bullish trend line still holding in the EUR/$
Euro-zone M3 money supply (y/y) 2.5% vs. 2.3% expectation.
According to German fin. minister, Italy and Spain debt fears are misplaced.
Aussie firmer after RBA’s Swan says will not intervene to adjust the value of the AUD.

Ask the Chartist with James Chen- 10am TODAY ON AIR NOW

Posted: 27 Jul 2011 06:45 AM PDT

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EURUSD watching support at the 1.4437-40 level today

Posted: 27 Jul 2011 06:45 AM PDT

The EURUSD fell below trendline support today and that opened the door for further profit taking selling. Weaker Durable Goods and Washington blunders has led to a little short covering in the early NY trade, but the price has started to move back down. Earlier today the 1.4437-40 level held support. This level corresponded with the high area from July 22nd. This level will be eyed on another test. A break below should open the door for further downward pressure with the 100 hour MA (blue line in the chart above) as a key target. That level comes in at 1.4413 currently.

On the topside the 1.4473 area should provide good resistance. The level corresponds with the 38.2% of the major move down today, the trendline and the 100 bar MA is not far behind (blue line in the 5 minute chart). The high off the low today approached this area, but found willing sellers on the first test. Should the price move above these levels, expect further buying as the shorts will likely cover and reevaluate.

The NY Morning Forex Commentary for July 27th

Posted: 27 Jul 2011 05:55 AM PDT

US Durable Goods Fall

Posted: 27 Jul 2011 05:31 AM PDT

Durable Goods Orders: Survey: 0.3% Actual: -2.1% Prior: 1.9% Revised: 1.9%

Durables Ex Transportation: Survey: 0.5% Actual: 0.1% Prior: 0.6% Revised: 0.7%

Cap Goods Orders Nondef Ex Air: Survey: 1.0% Actual: -0.4% Prior: 1.6% Revised: 1.7%

Cap Goods Ship Nondef Ex Air: Actual: 1.0% Prior: 1.4%

US Durable Goods Due at 8:30AM

Posted: 27 Jul 2011 04:32 AM PDT

UK MBA mortgage applications (July) -5.0% vs. 15.5% prior.

Posted: 27 Jul 2011 04:01 AM PDT

According to former PBOC adviser, Yu Yongding, the PBOC must reduce intervention in FX markets.

Posted: 27 Jul 2011 03:26 AM PDT

UK CBI manufacturing confidence -10; worse than expected.

Posted: 27 Jul 2011 03:02 AM PDT

Swiss KOF barometer (July) 2.04 vs. 2.11 expectation.

Posted: 27 Jul 2011 02:30 AM PDT

IMF likely to contribute less than a third of official lending in the new Greek aid according to sources.

Posted: 27 Jul 2011 02:13 AM PDT

Bullish trend line still holding in the EUR/$

Posted: 27 Jul 2011 01:30 AM PDT

Trading has been tame so far this session with worse than expected money supply and private loans out of the Euro-zone. We’ve seen an hourly trend line developing since Monday, with the pair testing it once again with the previous candlestick. If we see continued strength in the euro, we look to 1.45347 as our next target, however a break in support may see us lower towards the 38.2% retracement line.