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Old 08-09-2014, 11:49
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GDMFX GDMFX is offline
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Location: Auckland, New Zealand
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Default Re: Technical News | GDMFX Brokerage | Daily


Forex News: Friday’s price action was heavily influenced by the worse than expected value posted by the American Non Farm Payrolls, a fact which allowed the pair to climb. However, the Euro bulls weren’t strong enough to sustain the move and some of the gains were erased.

Technical Outlook
The last two days of last week were heavily influenced by the fundamental environment and the moves generated were huge. Such movement is often followed by sideways price action and we believe the pair will range between the low at 1.2920 and the potential resistance at 1.3000. Usually Mondays are slow days unless major news comes out and today the schedule is pretty light.

Fundamental Outlook
The only noteworthy indicator released today is the German Trade Balance which shows the difference in value between imported and exported goods. The expected figure is 17.3B compared with last month’s 16.2B and higher numbers will most likely strengthen the Euro but the indicator has a mild impact on price action unless surprising values are posted. The time of the release is 6:00 am GMT.

Similar to the Euro, the Pound briefly gained on the back of the worse than expected value of the US employment report but overall Friday was slow compared to the previous days.

Technical Outlook
First major support is located at 1.6250 and will probably attract price like a magnet since it is very close and it is considered a key level for medium term price action. The first lower barrier is represented by Friday’s low located at 1.6280 which is considered minor support. We expect a rather slow day based on the fact that no important economic or financial indicators are released.

Fundamental Outlook
As mentioned above, the fundamental scene is calm and price action will be governed by the technical aspect.
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