USD/CAD Forex Spread Betting Market Rises Above Parity on Weak US Data 0
This morning markets are being buffeted by cross winds.
One big positive has been the better than expected Chinese Manufacturing PMI.
The negatives include worse than expected Australian house price figures and the not entirely surprising news that the Greek bailout negotiations are dragging on.
In forex spread betting, the New Zealand dollar has been hardest hit with the NZD/USD down 0.20%, though the pair is well off the morning lows.
The pound and euro are both down around 0.15% against the US dollar and around 0.2% against the yen.
Trading Today
Coming up today we have UK Manufacturing PMI due at 09.30 with a small drop expected.
At 13.15 we have the month’s first major announcement with US ADP Payrolls expected to show a decrease on last month.
ISM manufacturing PMI follows at 15.00 with an increased expected.
EUR/USD Trading Idea
The medium and long term prognosis for the euro is still murky, but on a pure technical basis, the EUR/USD could be ready for a bounce here after two days of pressure.
Through 2011, the EUR/USD a pair to trade pullbacks and today could present such an opportunity.
A HIGHER trade predicting that the EUR/USD closes above 1.3125 in 1 days time could return 140%.
Editor’s note: If you lose a financial fixed odds trade you lose 100% of your stake.
The Markets Yesterday Afternoon
The euro lagged far behind its peers yesterday with the distance increasing through the afternoon session.
The main catalyst had been the lack of progress from Greece and a stubbornly high European unemployment rate.
The EUR/USD was down 0.61%, but the EUR/GBP showed the relative weakness best, down 0.86%.
US data was little better, with the main US house price index, Chicago PMI and CB Consumer confidence all falling more than expected.
This was actually good news for the US dollar which moved off the day’s lows. The USD/CAD rose above parity once again while in gold spread betting, the precious metal lost $15 from the day’s highs.
The NZD/USD held up well though, up 0.80% on the day.
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The Financial Fixed Odds update by David Evans, Market Analyst, BetOnMarkets.
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