eToro – Forex Trading Forum

[BlueinGreen]

Morning all,
EURUSD has just created a new low trading towards the lower areas of 1.45
technically speaking – the next major support area for this pair is 1.4430, and the next at 1.4315
interestingly we see the Yen gaining strength against the dollar while most pairs are losing against the dollar.
this might be a technical correction of the current USDJPY trend. it might develop buying opportunities later on ( not now- too early to evaluate).

The Reserve Bank of Australia lowered tonight the interest rate on the AUD for the first time in 7 years as a measure against inflation. the interest rate on the AUD in now 7% ( down from 7.25%).
this and worries of further rate cuts in Australia turn the carry trade baskets less attractive. this is why pairs like AUDJPY dive to new lows these days.

today's main events

9:30am GBP Construction PMI Forecast 36.0 Previous 3637

3:00pm USD ISM Manufacturing PMI Forecast 49.9 Previous 50.0


ISM Manufacturing PMI = Survey of about 400 purchasing managers which asks respondents to rate the relative level of business conditions including employment, production, new orders, prices, supplier deliveries, and inventories;It's a leading indicator of economic health - businesses react quickly to market conditions, and their purchasing managers hold perhaps the most current and relevant insight into the company's view of the economy;

happy trading