Market Analysis 9-13 July

USD Direction this week: Bullish

USD remains quite firm despite slowing the US economy and is expected to strengthen further this week. The upside risks should be limited though, influenced by US interest rates and current account deficit of 3.1 % of GDP.

Potential currency movers this week:

Monday Eurozone finance ministers meeting  
Tuesday China trade balance;  
Wednesday FOMC;  
Friday retail sales, industrial production, US consumer confidence  

AUD/USD Direction this week: Bearish

It’s expected to see move to the downside influenced by soft Chinese economic data this week and quite strong US Dollar. Chinese inflation data is anticipated to ease to a 29-month low. it’s very possible to see bullish reaction in the pair on Thursday caused by job report.

Potential currency movers this week:

Monday China CPI;  
Tuesday China trade balance;  
Wednesday FOMC;  
Thursday Labor force;  
Friday China GDP, retail sales, industrial production;  

EUR Direction this week: Bullish

EUR is at the very strong support level and at the record lows across major currency pairs which should at least temporarily put some upward pressure. However the rally won’t last as ECB is projecting to ease monetary policy further and is expected the downward trend to continue and EUR to weaken further to target of 1.20.

AUD/JPY Direction this week: Bearish

AUD/JPY should slide lower this week due to Japan’s current account surplus, worsening global economic outlook and soft Chinese economic outlook. There is a risk of introducing by BoJ another policy easing on Thursday which could cause the currency pair to spike briefly higher.

Marius Mass
Green trades...
Trader (Forex, CFD's, Futures), Coach, Marius offers private consulting services to individuals investing in foreign exchange market. Marius specializes in price volatility techniques. Throughout years of experience, his discoveries were oriented in very unique market perception of price anatomy, Volatility and nature of price behaviour. Author of the book "Speaking Language of Forex Market" which discloses his experience and excellence of trading the Forex market. Google+
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