UFXBank Daily Outlook - March 8, 2010 | GoLearnForex

UFXBank Daily Outlook - March 8, 2010

Written by article default Monday, 08 March 2010 07:17

Daily Review 8/3/2010

USD Dollar (USD) – The Dollar weakened versus most majors and gained versus the Yen after a smaller than expected decline in Nonfarm Payrolls left investors optimistic. Non Farm Payrolls showed a decrease of -36K versus -40K forecast and Unemployment Rate remained at 9.7%, better than 9.8% expected. NASDAQ and Dow Jones gained by 1.48% and 1.17% respectively, led by financial stocks. Crude Oil gained by 1.61% closing at 81.50$ a barrel. Gold (XAU) gained by 0.19% closing at 1,135.2$ an ounce. No economic data expected today.

EURO (EUR) –The Euro gained versus the Dollar after better unemployment data in the U.S signaled a stronger recovery from the recession. German Factory Orders came out better with 4.3% versus 1.6% forecast. Overall, EUR/USD traded with a low of 1.3530 and a high of 1.3630. EUR/USD is still trading in a daily channel between 1.3780 and 1.3450,. Today, German Industrial Production is expected better with 1.1% versus -2.6% prior.

EUR/USD - Last:  1.3685

British Pound (GBP) – The Pound gained versus the Dollar as risk appetite rose following better unemployment data in the U.S. PPI Input came out as expected with 0.1% and PPI Output came out slightly better with 0.3% versus 0.2% forecast. Overall, GBP/USD traded with a low of 1.4992 and a high of 1.5167. GBP/USD The main trend continues to be bearish but a strong correction upwards due to oversold conditions is possible. Today, MPC Member Barker will speak in London.

GBP/USD - Last:  1.5170

Japanese Yen (JPY) –The Yen fell versus the Dollar after better than expected NFP data led to stronger risk appetite. Overall, USD/JPY traded with a low of 89.15 and a high of 90.59. USD/JPY has bounced after reaching close to the support at 88 and continues upwards. The pair is facing strong resistances at 90.5 and 91. No major economic data expected today.

USD/JPY-Last: 90.42

Canadian Dollar (CAD) – The Canadian Dollar gained versus the Dollar, reaching a 6 week high after better NFP data and advance of commodities. Overall, USD/CAD traded with a low of 1.0261 and a high of 1.0331. USD/CAD has continued downwards and is near oversold RSI conditions and yearly lows at 1.02 which is expected to hold as a strong support. Today, Housing Starts are expected slightly higher with 188K versus 186K prior.

USD/CAD - Last:  1.0265