Sign up to create alerts for Instruments,
Economic Events and content by followed authors
Free Sign Up Already have an account? Sign In
Quotes
All Instrument Types
- All Instrument Types
- Indices
- Equities
- ETFs
- Funds
- Commodities
- Currencies
- Crypto
- Bonds
- Certificates
Please try another search
🤖 Market chaos? You're not alone. Look for ideas with our AI, beating S&P 500 by 12%+ YTD
Get Picks Here
Daily Analysis
www.investing.com/analysis/fundamental/daily-analysis--15375
Daily Analysis
By iFOREX | Dec 25, 2008 07:00PM ET
The US dollar has done little but consolidate its gains from December 18 and 19 since the start of the week, and this is likely to remain the case through Friday as trading volumes are bound to remain low. The euro continues to trade near record highs versus the British pound, as the pair has done little but consolidate below £0.9500/50. The individual currencies however, have gone relatively unchanged versus the US dollar, leaving EUR/USD to consolidate below $1.40 while GBP/USD has drifted down toward support at $1.4650.
EUR/USD looked generally bid after early weakness on the day following Christmas. From an early low of 1.3990, the pair scooted higher on presumed buying by a large Asian name out via Singapore (Singapore was the only major FX center aside from Tokyo open) to $1.4059 before easing off. Some light trader stops were tripped on the break above $1.4050. More are seen above resistance at $1.4100 and $1.4125, the latter the high on the 22nd. Bids below are concentrated around the $1.4000 area now and look to trail down to $1.3950. Some stops are seen below this level but will unlikely come under much scrutiny given sentiment again favoring a weaker USD.
USD/JPY traded up from an early low of ¥90.34 to ¥90.84 before being capped by Japanese exporter and other offers ahead of ¥91.00. The talk is offers from exporters at ¥91.00 and above are very large, and look to cap USD/JPY going forward despite talk of some trader stops mixed in above. USD/JPY later came off towards earlier lows on general USD weakness. JPY crosses remained relatively buoyant after initial surges higher with the Nikkei buoyant on better than expected sales and spending data.
2008 was an extremely volatile and unpredictable year within the foreign currency markets. We saw the GBP/USD exchange rate drop over 25%, the GBP/EUR exchange rate drop over 20% and the EUR/USD exchange rate drop over 20%. There is no point in me talking about the reasons behind the credit crisis as we have all heard it many times before.
So what is on the cards for 2009?
For a while now, the currency markets have been extremely difficult to predict and I certainly cannot see that changing. In the short term at least, things will continue to be volatile
Happy Holidays!
EUR/USD looked generally bid after early weakness on the day following Christmas. From an early low of 1.3990, the pair scooted higher on presumed buying by a large Asian name out via Singapore (Singapore was the only major FX center aside from Tokyo open) to $1.4059 before easing off. Some light trader stops were tripped on the break above $1.4050. More are seen above resistance at $1.4100 and $1.4125, the latter the high on the 22nd. Bids below are concentrated around the $1.4000 area now and look to trail down to $1.3950. Some stops are seen below this level but will unlikely come under much scrutiny given sentiment again favoring a weaker USD.
USD/JPY traded up from an early low of ¥90.34 to ¥90.84 before being capped by Japanese exporter and other offers ahead of ¥91.00. The talk is offers from exporters at ¥91.00 and above are very large, and look to cap USD/JPY going forward despite talk of some trader stops mixed in above. USD/JPY later came off towards earlier lows on general USD weakness. JPY crosses remained relatively buoyant after initial surges higher with the Nikkei buoyant on better than expected sales and spending data.
2008 was an extremely volatile and unpredictable year within the foreign currency markets. We saw the GBP/USD exchange rate drop over 25%, the GBP/EUR exchange rate drop over 20% and the EUR/USD exchange rate drop over 20%. There is no point in me talking about the reasons behind the credit crisis as we have all heard it many times before.
So what is on the cards for 2009?
For a while now, the currency markets have been extremely difficult to predict and I certainly cannot see that changing. In the short term at least, things will continue to be volatile
Happy Holidays!
Related Articles
FX Levels for Today
By Abdul Khan - Jan 05, 2009
OverviewThe Forex market has begun to return to some form of normality following the holidays. The EUR copped it overnight as speculation swept the market about the ECB...
CURRENCY TRADING SUMMARY
By Easy Forex - Jan 05, 2009
U.S. Dollar Trading (USD) found strength against the Euro and JPY but lost ground against most other currencies which rebounded with improving market sentiment and rebound in...
Euro Craters as Cross Selling Weighs
By GFT - Jan 05, 2009
Top Stories * Euro hits a three week low on dollar strength and selling of EURGBP * Russia halts gas supplies to Balkans in dispute with...
Daily Analysis
Add Chart to Comment
Confirm Block
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.
Report this comment
I feel that this comment is:
Comment flagged
Thank You!
Your report has been sent to our moderators for review
Add a Comment
We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
Enrich the conversation, don’t trash it.
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.