Friday, December 13, 2013

Action Insight Mid-Day Report 12-13-13

Action Insight	Candlesticks Trades	Markets Summary	Action Bias	Top Movers	Daily Technicals
Calendar	Elliott Wave Trades	Markets Volatility	Pivot Points	Heat Map	Daily Fundamentals

Action Insight Market Overview	Markets Snapshot
Mid-Day Report: Dollar Gathers Further Momentum for Rebound Dollar's rebound gathers some more pace today as European majors also gave way to the greenback. In particular, note that GBP/USD's break of 1.6290 support has some near term bearish implication. Dollar was also strong against yen with USD/JPY making now five year high today. AUD/USD stays soft, maintain near term bearish outlook for 0.8847 low. Dollar was supported by news that the House has finally passed the first bipartisan budget in four years yesterday, with a clear 332-94 vote. The budget agreement would keep around half of the automatic spending cut in place in 2014 and around three quarters in of the planned cuts in 2015. That is, it would release USD 40b in cuts in 2014 and USD 20b in cuts in 2015 with USD 23b in deficit reduction. The Senate is expected to pick up the deal next week. But agreement on rasing the debt ceiling was not reached yet. Data from US saw PPI dropped -0.1% mom, rose 0.7% yoy in November. Core PPI rose 0.1% mom, 1.3% yoy. Full Report Here...
Featured Technical Report
GBP/USD Mid-Day Outlook Daily Pivots: (S1) 1.6308; (P) 1.6362; (R1) 1.6405; More... GBP/USD drops further today and reaches as low as 1.6262 so far. The break of 1.6290 support indicates short term topping on bearish divergence condition in 4 hours MACD. Intraday bias is back on the downside and deeper decline would be seen to 55 days EMA (now at 1.6134). On the upside, break of 1.6465 will extend recent rally towards 61.8% projection of 1.4813 to 1.6259 from 1.5853 at 1.6747, which is close to 1.6476 next medium term resistance. Read more... EURUSD Technical Outlook USDJPY Technical Outlook GBPUSD Technical Outlook USDCHF Technical Outlook USDCAD Technical Outlook AUDUSD Technical Outlook EURJPY Technical Outlook EURGBP Technical Outlook EURCHF Technical Outlook GBPJPY Technical Outlook

Economic Indicators Update

GMT	Ccy	Events	Actual	Consensus	Previous	Revised
21:30	NZD	Business NZ Manufacturing Index Nov	56.7		55.7	55.9
08:15	CHF	Producer & Import Prices M/M Nov	-0.10%	0.20%	-0.40%
08:15	CHF	Producer & Import Prices Y/Y Nov	-0.40%	-0.10%	-0.30%
13:30	USD	PPI M/M Nov	-0.10%	0.00%	-0.20%
13:30	USD	PPI Y/Y Nov	0.70%	0.60%	0.30%
13:30	USD	PPI Core M/M Nov	0.10%	0.10%	0.20%
13:30	USD	PPI Core Y/Y Nov	1.30%	1.40%	1.40%

Orders and Options Watch

US Session: Orders and Options Watch

EUR: The single currency slipped again from 1.3769 to as low as 1.3708 just ahead of US opening and bids at 1.3745-50 and stops below 1.3735 were tripped, however, bids are still seen at 1.3700-10 (stops below 1.3680) and further out at 1.3650-60 with more stops tipped below both levels, fresh demand from macro names should emerge around 1.3610-30 area. On the upside, offers are reported from 1.3750 up to 1.3770 (some stops above), selling interest is located at 1.3790-10 area, more sell orders are tipped at 1.3820-25, 1.3840-50 (another barrier) and 1.3870-85.

Read more...

Forex Trade Ideas

Trade Idea Update: GBP/USD - Sell at 1.6340

As the British pound has fallen sharply again and broke below indicated support at 1.6315-20, adding credence to our view that top has been formed at 1.6466 (with a potential shooting star on the weekly chart and an evening star on the daily chart), hence bearishness remains for the fall from there to bring correction of recent upmove to previous resistance at 1.6240, then 1.6223-32

Trade Idea Update: EUR/USD - Buy at 1.3700

As the single currency has retreated after rising to 1.3811 earlier this week, retaining our view that consolidation below this level would be seen and near term downside risk remains for correction to 1.3705-10 (38.2% Fibonacci retracement of 1.3543-1.3811), however, reckon 1.3695-00 would limit downside and bring another rise later, above said resistance at 1.3811 would extend gain towards recent high of 1.3833