Forex Market Updates & Commentary

GBPUSD tests lows from Friday. One day, trend higher. The next trend down
EURUSD keeps bearish bias
Italian Bank Unicredit reports larger loss.
Bobbys Corner-Open Market-Nov.14.2011
NY Morning Forex Commentary for November 14th 2011
Fitch comments that Italian auction today was a positive.
Unconfirmed talk of ECB buying Spanish debt
Warren Buffett tells the world he has purchased 64 million shares of IBM since March
Eurozone Industrial Production
Swiss PPI
11-14 Economic Calendar
The FXDD Forex Week Ahead : REBROADCAST
China Sets the Yuan Reference Rate @6.3301 vs. USD
APEC Statement
usd/sgd finds support on this trend-line

GBPUSD tests lows from Friday. One day, trend higher. The next trend down

Posted: 14 Nov 2011 07:50 AM PST

It is not a normal market, but the GBPUSD has reversed the trend up on Friday with a trend down on Monday. The low on Friday reached 1.5893 before surging higher. The price has now taken out that low and looks next toward the Thursday low of 1.5867.

Looking at the 5 minute chart, the pair has extended below the bottom trendline of a more shallow channel that has formed in the NY session. THis should accelerate the decline but traders will be watching for that momentum to develop. If the price moves back into the channel, it could signal an end of the decline today and the potential for further corrective potential. That level comes in at the 1.5899 level (see chart below)

EURUSD keeps bearish bias

Posted: 14 Nov 2011 07:35 AM PST

The EURUSD has kept a more bearish bias. The 1.3607 level remains a target below. This is the 38.2% of the move up from last Thursday’s low. On the topside, the 1.3645-52 area is likely topside resistance that intraday traders will want to see the price remain below. The 1.3645 level is the 50% of the move up from Thursday. The 1.3652 level was a floor area on the daily chart in October and again earlier this month.

Italian Bank Unicredit reports larger loss.

Posted: 14 Nov 2011 06:16 AM PST

The bank recorded a net loss of 10.6 billion euros (yes billion) in the 3rd quarter. Analyst were expecting a gain of 7.4 million euros. They will look to cut 500 jobs. The stock is down 8% in Milan. The board has also proposed at reverse stock split.

The bank has approved a 7.5 billion Euro share sale to boost finances. I wonder how that may go?

This has caused a negative reaction in the EURUSD which has moved to new day lows. The 1.3607 level is the next target on the downside.

Bobbys Corner-Open Market-Nov.14.2011

Posted: 14 Nov 2011 06:01 AM PST

Good Morning:

The initial euphoria of new leadership in Italy and Greece faded as the morning went on. Mr. Papandremous of Greece and Mario Monti
of Italy both have economic backgrounds, which was an essential component in picking new leadership to govern these countries.
With the chaos going on in the region-the markets are looking to the ECB, and their new leadership to right the ship.
In reality-any new economic reforms will take time to put in place. With a population that is already reeling from weak regional economies, along with austerity measures that have been in place,and are not popular with the masses-any new reforms will be a hard sell.
Comments from ECB members also put a damper on any positive direction for the markets. One member stated that the ECB’s support for Italy would only be temporary-and that the ECB will not be the lender of last resort in the EU.

Gold, Silver,Oil are all lower.

Equity markets are lower-and US Futures are slightly lower this morning.

HAVE A GREAT DAY & GOOD LUCK

NY Morning Forex Commentary for November 14th 2011

Posted: 14 Nov 2011 05:36 AM PST

Fitch comments that Italian auction today was a positive.

Posted: 14 Nov 2011 05:17 AM PST

The EURUSD is getting a boost off of the low currently. The midpoint of the move up from last Thursday comes in at the 1.36453 level. This level will be eyed as support in early NY trade today. On the topside the 100 hour MA (blue line in the chart below) will need to be breached in order to increase any bullish momentum in the pair. That level comes in at the 1.3680 level currently.

Unconfirmed talk of ECB buying Spanish debt

Posted: 14 Nov 2011 04:56 AM PST

Spain is scheduled to sell 12 and 19 month bills (3 1/2 billion) tomorrow and bonds maturing in 2022 on Thursday (up to 4 billion). This will be a key auction that will test investor appetite.

The ECB will be announcing the bond purchases for the current week at 8:30 AM ET

Warren Buffett tells the world he has purchased 64 million shares of IBM since March

Posted: 14 Nov 2011 04:29 AM PST

That amounts to 10.7 billion. Amazing.

Doing the math, he is in at an average price of 167.1875 per share. IBM is trading at $187. The people with all the zeroes at the end of their account balance are in charge and move the market.