The U.S. Dollar: Setups To Watch
Dailyfx | Jan 14, 2014 10:19AM ET
- US Dollar selling hits pause on mixed consumption figures.
- Australian Dollar, Japanese Yen begin retracing yesterday’s big moves.
- Calendar devoid of top of the line event risk until Asian session on Thursday.
Intraday Price Perspective
A scan of this morning’s best and worst performers via the Strong/Weak app shows that the US Dollar is squarely neutral over the past 24-hours, having been at the behest of the more volatile majors, the Australian Dollar and the British Pound. In fact, just yesterday was the GBP/AUD one of the worst performers in the market; today, it is the best on both the H4 and D1 timeframes.
Here’s the data keeping the US Dollar neutral the past rolling 24-hours:
- Advance Retail Sales (DEC): +0.2% versus +0.1% expected, from +0.4% (revised lower from +0.7%) (m/m).
- Retail Sales less Autos (DEC): +0.7% versus +0.4% expected, from +0.1% (revised lower from +0.4%) (m/m).
- Retail Sales Control Group (DEC) (used in GDP): +0.7% versus +0.3% expected, from +0.2% (revised lower from +0.5%) (m/m).
While there may be actionable trade setups forming in the European crosses – EUR/AUD, GBP/NZD, EUR/JPY, etc. – such price action has by and large been concentrated outside of the US Dollar, even in the wake of the usually market-moving US Advance Retail Sales report.
In the video, we identify the levels in the components of the USDOLLAR Index to watch for over the coming days to help determine which way the buck will break.
--- Written by Christopher Vecchio, Currency Analyst
/h3
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.