Market Review – 08/08/2011 22:03 GMT Yen, Swiss franc surge on U.S. downgrade The Japanese yen and the Swiss franc rallied against other currencies on Monday as the U.S. credit rating downgrade by Standard & Poor prompted...
Market review for 1 – 5.08, 2011
Market Review – 06/08/2011 01:09 GMT Euro surges on hopes of expanded ECB bond buying programme The single currency rallied on Friday’s news that the ECB is likely to buy bonds from troubled Italy and Spain to...
We have been a bit surprised by the weakness of the antipodean (Aussie and Kiwi). The Aussie has been under intense pressure, loosing more than 600 pips in a single week.
The pair is in the process of building a nice double bottom formation on the weekly chart which will definitly confirmed with a break above 0,9920 (June high).
The pair continues to establish new record lows week after week and the recent develpments in the US will probably confirm the overall bearish trend.
As often, the effect of the BoJ intervention was short-lived with the pair stalling out ahead of its key 80,00 level.
The pair has probably confirmed the end of a 38% retracement of its recent rally which opens the door to the weekly upper bollinger band (1,6650).
Despite the good US employment data, the pair managed to find some support well above the 1,40 key level.
The USD/JPY pair saw intervention by the Bank of Japan this past week, but quickly gave up a lot of the gains from that action.
