Fed to deliver further stimulus - JPM
JPM is quite dovish on the next Fed policy tools to deploy, expecting Ben Bernanke & Co. to provide additional stimulus to the economy by extending the rate-on-hold guidance out to mid-2015 and increasing asset purchases. The bank expects medium-term US paper getting a better bid tone ahead of the Sept 12-13 FOMC meeting. A more marked move will come via real yields as investors bet on higher inflation, says JPM head bond strategist Terry Belton.
For the London session ahead the economic agenda will be soft once again in EUR macro data related terms, with Germany GFK consumer sentiment at 06:00 GMT, followed by Spanish final GDP 1 hour later, and EU M3 money supply at 08:00 GMT. At 11:00 GMT is expected EU's Van Rompuy will meet Spanish PM Rajoy, which could bring some headlines to the table giving some volatility to current thin markets, coupled with both Spanish and Italian short term sovereign debt auctions to be held today, Spain to sell up to €3.5B in 3 and 6 month bills. Spanish 10y bond yields hold near mid 6%s with risk premium with Germany around the 500bps.
Read More
https://support.fxcc.com/email/technical/28082012/
UPCOMING EVENTS :
2012-08-28 06:00 GMT | Germany. Gfk Consumer Confidence Survey (Sep)
2012-08-28 06:00 GMT | Switzerland. UBS Consumption Indicator (Jul)
2012-08-28 08:00 GMT | European Monetary Union. M3 Money Supply (3m) (Jul)
2012-08-28 14:00 GMT | United States. Consumer Confidence (Aug)
FOREX NEWS :
2012-08-28 04:32 GMT | GBP/USD maintains bearish profile
2012-08-28 03:51 GMT | EUR/USD in holding pattern ahead of risk events - OCBC
2012-08-28 02:53 GMT | AUD/USD continues to grind lower
2012-08-28 01:28 GMT | Risk off swings boost USD, JPY
EURUSD : 1.24836 / 1.24841
DAILY WEEKLY MONTHLY
1.2594 | 1.2547 | 1.2508
1.2446 | 1.2406 | 1.2369
SUMMARY : Up
TREND : Sideway
MA10 : Bearish
MA20 : Bearish
STOCHASTIC : Neutral
MARKET ANALYSIS - Intraday Analysis
Market remains in uptrend after some consolidation provided yesterday. Instrument dropped below the suggested support level at 1.2482 and now is moving towards to our target at 1.2446 (S1). Brake here is required for further correction development towards to next target at 1.2406 (S2). Last support level locates today at 1.2369 (S3). Failure to go lower would put in focus next resistance at 1.2508 (R1), brake here is required to enable next targets at 1.2547 (R2) and 1.2594 (R3), important technical level.
---------------
GBPUSD : 1.57882 / 1.57893
DAILY WEEKLY MONTHLY
1.5892 | 1.5861 | 1.5827
1.5753 | 1.5717 | 1.5681
SUMMARY : Down
TREND : Downward penetration
MA10 : Bearish
MA20 : Bearish
STOCHASTIC : Neutral
MARKET ANALYSIS - Intraday Analysis
The market is intended to go lower in medium term perspective. Yesterday instrument dropped below the expected support level at 1.5796 and finally reached our target at 1.5766 today. Technically, next support level locates at today fresh low 1.5753 (S1), pushdown of the price is possible below this level. We suggest next targets at 1.5717 (S2) and 1.5681 (S3). Failure to go lower suggested support level might put in focus our next resistance level at 1.5827 (R1), brake here would suggest new targets at 1.5861 (R2) and 1.5892 (R3).
---------------
USDJPY : 78.509 / 78.514
DAILY WEEKLY MONTHLY
79.21 | 79.02 | 78.83
78.45 | 78.28 | 78.11
SUMMARY : Down
TREND : Sideway
MA10 : Bearish
MA20 : Bearish
STOCHASTIC : Oversold
MARKET ANALYSIS - Intraday Analysis
USDJPY depreciated today below the expected support level at 78.62 and almost reach our next target at 78.45 (S1). We expect further easing towards to our targets later on today however there is no clear tendency on the market now. Possible execution of protective orders below the support level at 78.45 (S1) might drive market price toward to our lower targets at 78.28 (S2) and 78.11 (S3). On the other hand, if market go higher and continue to be traded in sideways we suggest waiting for a clear brake of the next resistance level at 78.83 (R1). Next expected target at 79.02 (R2).
Source: FX Central Clearing Ltd, ( Forex Trading Course | Forex Trading Blog | ECN Forex Trading Training | FXCC )