As we gently make our way into 2014 some data is showing signs of weakness, this is mostly seasonal stuff. Aussie home loans up slightly, US jobs down, UK stumbling, all has to do with the generally slow turn around the new year pivot. I am still bullish Greenbacks and Pound, still bearish Loonie’s and Yen. Life and the markets are never one directional so there will be pull-backs in the trend. This just gives us opportunities to get in though and so I will be looking to take those opportunities and will highlight them to you when and as they appear.
DATA HIGHLIGHTS TODAY – UK CPI. US Retail Sales.
AUDUSD – Has come back to touch the 50ema and I will be looking for sellers of our currency around these levels. Thursday is our jobs report and the forecast is stronger for it but I do not see the same. I will/would wait until after that figure before looking for a trade in it though.
EURUSD – An inside test bar gives us another day of indecision, so we wait.
GBPUSD – A LHLL seller bar. Here I am looking for a test of support of 1.63 and 50ema. A sign of buyers/bounce off that level will be ideal for getting the run up to 1.67.
NZDUSD – A big jump in the biz confidence across the Tasman has seen the kiwi rally. There is much resistance up here though so I do not see this trend extending too far, the flat ema’s are indicative of a range.
USDCAD – Despite oil prices continuing to fall the Loonie posted an inside test bar. No momentum divergence though so again, this is a waiting period of patience.
USDJPY – Came down to tag the 50ema perfectly. Price has down some work around the 103 level previously in December so am expecting support to be found here.
GOLD – Inching higher on weaker greenbacks for the time being but I would not be bullish gold until I see a complete cycle above the 50ema and bounce off of it.
BITCOIN (from Mt.Gox exchange) – Hit a low of 880 overnight and is currently just above 900. Looks range bound b/w 1000 and 850 at the moment.