Daily Market Review by FXCC June 15 2012

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Daily Market Review by FXCC June 15 2012

Countdown to the Greek Elections and the Future of the Euro

The Asian regions stocks are gaining on Friday morning on hopes that Central banks of the world would offer stimulus if Greece decides to exit the Euro zone. Investors are putting in money ahead of the major events over the weekend mainly the Greek Vote. The SGX Nifty is trading higher by 24 points, tracking other peers. On the economic front, from the Euro-zone, we have the Euro-Zone Trade Balance which is expected to decrease to 4.2Bn from a previous reading of 4.3Bn and could put pressure on the euro. From the US, Empire Manufacturing will be closely watched. It's expected to come in lower at 13.5 and could affect the dollar negatively in the evening session.

The big news of the day is a news from the G20 that there is a plan to coordinate action between global central banks, to work in unison, if needed after the Greek elections. Also in the UK George Osborne announced a plan to pull together the government and the BoE to build a cohesive action to stimulate growth and lending in England.
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UPCOMING EVENTS :
2012-06-15 06:50 GMT | EMU - ECB President Draghi's Speech
2012-06-15 06:50 GMT | UK - Trade Balance
2012-06-15 09:00 GMT | EMU - Employment Change
2012-06-15 13:00 GMT | US - Net Long-Term TIC Flows

FOREX NEWS :
2012-06-15 04:56 GMT | USD/JPY extends decline to 78.80
2012-06-15 04:28 GMT | GBP/USD sits around 1.5550 ahead of Europe
2012-06-15 04:21 GMT | EUR/USD holds above 1.2600
2012-06-15 03:06 GMT | BoJ: No alteration to its easing program


EURUSD : 1.26324 / 1.26328
DAILY WEEKLY MONTHLY



1.2786 | 1.2717 | 1.2680
1.2574 | 1.2505 | 1.2468

SUMMARY : Up
TREND : Up trend
MA10 : Bullish
MA20 : Bullish
STOCHASTIC Neutral


MARKET ANALYSIS - Intraday Analysis

Technical's and signals are mixed, likely to be within range over next 48-hours. The pair broke through the 1.26 price. Stochastic remains positive but is close to overbought territories but staying below the pivotal resistance of 1.2650 leave the pair stuck in neutral. A break back below 1.2500 will bring additional losses but a closing above 1.2630 will interrupt the main bearish trend. The trading range for today is among key support at 1.2360 and key resistance at 1.2790.

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GBPUSD : 1.55415 / 1.55424
DAILY WEEKLY MONTHLY



1.5676 | 1.5620 | 1.5584
1.5492 | 1.5436 | 1.5400

SUMMARY : Up
TREND : Up trend
MA10 : Bullish
MA20 : Bullish
STOCHASTIC : Neutral


MARKET ANALYSIS - Intraday Analysis

Technical's are mixed - movement remains bound between support at 9 day MA (1.5481) and resistance at the 21 day MA (1.5578). Stochastic is pushing the overbought areas. A drop below 1.5480 will bring further downside actions. The trading range for today is among key support at 1.5230 and key resistance at 1.5730.

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USDJPY : 78.860 / 78.866
DAILY WEEKLY MONTHLY



80.015 | 79.767 | 79.313
78.612 | 78.365 | 77.915

SUMMARY :
TREND : Up trend
MA10 : Bearish
MA20 : Bearish
STOCHASTIC : Overbought


MARKET ANALYSIS - Intraday Analysis

Technical's and signals are mixed - movement continues to be bound within a narrow range as indicators remain indecisive and contradictory RSI 14 started to show a sign of bearish tendency but trading remains stable above the key support level of 61.8% Fibonacci level. A break above 79.80 may fix the sign on RSI; whilst taking 78.80-78.70 will be a negative scenario. The trading range for today is among key support at 78.20 and key resistance now at 80.75.

Source: FX Central Clearing Ltd, ()