USD Falling In US Session, Mixed FED and Equity Ramp


The US Dollar has fallen today erasing some gains that were added during the Asian and Euro trading sessions. The USD fell mostly against AUD and NZD after China data showed that the Chinese economy is continuing to grow at a fairly steady rate. US stocks rallied today for the third day in a row but that rally may be slowing, US indices gaining about +1% but fell after the close to about +0.5%.  The fed beige book showed that most sectors of the economy are improving but that some policy members feel that the fed is not doing enough to help the economy. This may led to some speculation that the fed may slow it’s rate of tapering. Also the fact that the Bank of England is expected to be one of the next major banks to implement rate hikes is leading to GBP speculation and strength. GBP/USD double top still seems to be a possibility until recent highs are broken.

We continue to hold long USD trades for now vs GBP,NZD and JPY and expect to see the USD recover some of today’s late losses tomorrow.

 

Advertisements
This entry was posted in Forex Trading and tagged , , , , , , , , , , , , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s