The problem exchange rates in today's markets are located within anchor currencies as EUR/USD, GBP/USD, AUD/USD and NZD/USD. The current prices are fa
, GBP/USD, AUD/USD and NZD/USD. The current prices are far to low and all are responsible to drive markets and to create wider trade ranges. All suffer the effects of a higher DXY over the past 9 weeks.
The low prices to anchor currencies created a further correlation disjunction to wide rangers as GBP/AUD, EUR/AUD, EUR/NZD and GBP/NZD. GBP/AUD on the way to 1.9970 highs on August 17 correlated to GBP/USD at +88%. As GBP/AUD dropped to 1.9200's and GBP/USD at 1.2380, correlations today trade at +30% and -91% to AUD/USD. EUR/AUD correlates to EUR/USD at - 49% and -93% to AUD/USD. EUR/AUD's price is completely lost and trades without an anchor connection. AUD/USD was never the concern as AUD/USD correlated to GBP/AUD at -94% on August 17 and today at - 91%. AUD/USD traded highs on August 17 at 0.6450 and opensCorrelations continue as EUR/NZD Vs EUR/USD at -54% and -94% to NZD/USD. GBP/NZD correlates to GBP/USD at +27% and -92% to NZD/USD. Anchor currencies continue to trade far to low while wide rangers despite a healthy drop, trade overbought.correlates to GBP/JPY +96% and +32% to GBP/USD. EUR/JPY correlates to USD/JPY at +97% and -47% to EUR/USD. The difference today is USD/JPY owns the JPY cross pairs as opposed to past months when USD/JPY shared a fairly 50/ 50 to anchor currencies. EUR/JPY for example correlated to EUR/USD at +50% and +50 to USD/JPY. JPY cross pairs once trapped are now free to travel alongside USD/JPY.DXY traded higher every week for the past 9 weeks from 99.00 lows. Dating to 2015, DXY traded many times as 6 and 8 weeks straight higher and straight lower.DXY lower trades 104.35, 103.58 and roughly every 100 pips to 100.00's. DXY is the true problem currency. Trades are factored as DXY much lower to again challenge 99.00 lows. USD/JPY trades this week from low 149.00's to middle 146.00's. Middle 146.00's are blocked as the strategy is trade the 146.00 to high 148.00's ranges. USD/JPY long term targets are located at 142.19, 134.85 and 130.57. The target at 142.19 is located between the 100 and 200 day average. EUR/JPY 156.00's for the week are blocked. EUR/JPY 156.00's trade at the 100 day average. The week range trades from 156.00's to 159.00's and low 160.00;s. EUR/JPY long term targets are found at 153.18 and 146.56. The 153.18 target trades between the 100 and 200 day averages. GBP/JPY long term targets 177.96 and 170.10 to start. The bottom at the 253 day average trades at 171.66.must break 1.2552 and 1.2653 to target 1.2736. EUR/NZD long term targets 1.7770, 1.7506 and 1.7344. EUR/NZD must trade to minimum 1.7770 on a break of 1.7974.GBP/NZD big line for the week is 2.1200 and 1.8200's for EUR/NZD.AUD/NZD trades deeply overbought but a warning as AUD/NZD trades as a serious problem currency.EUR/AUD next targets 1.6395, 1.6203. The 253 day average=1.6198.If AUD/USD and NZD/USD ever decides to trade normal again, the targets for AUD/USD at 0.6609 and 0.6756 are easy to achieve. NZD/USD targets 0.6082 and 0.6243. Deeply oversold GBP/CAD strategy is long for the week as well as EUR/CAD and NZD/CAD. GBP/CAD and NZD/CAD are preferred trades to EUR/CAD.Trading currencies and other financial instruments carries a degree of loss and possible loss of entire investments. Please managed your own risks, stop loss, and margins requirements.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
EUR/USD: Next on the downside emerges 1.0635A deeper drop could drag EUR/USD to the 1.0515 zone in the next few weeks, note UOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Lean
Read more »
GBP/USD: Risk extra retracements in the near termUOB Group’s Economist Lee Sue Ann and Markets Strategist Quek Ser Leang suggest there is still room for further weakness in GBP/USD in the next few we
Read more »
EUR/USD: A return to the 1.0600/1.0650 area around the Fed meeting seems appropriateIn the view of economists at ING, EUR/USD sensitivity to the Dollar leg and – by extension – US activity data should be even higher at this point. Dri
Read more »
GBP/USD could get to 1.20, EUR/USD can trade below 1.05 without positive European data surprisesKit Juckes, Chief Global FX Strategist at Société Générale, notes that the growth outlook is dominating the FX market. Growth matters more than centra
Read more »
EUR/USD: Weakness below support at 1.0610 would point to losses extending to 1.04EUR/USD stabilizes in the low 1.06 area. Economists at Scotiabank analyze the pair’s outlook. Undertone remains soft Minor spot gains from the low 1.0
Read more »
GBP/USD: Losses could extend towards 1.20/1.21 in the next few weeksCable’s push higher stalled around the 1.2450 mark. Economists at Scotiabank analyze the GBP/USD outlook. Strength through 1.2550 resistance is needed
Read more »