Wednesday, January 8, 2014

Action Insight Daily Report 1-9-14

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
Daily Report: Dollar Firm Against Commodity Currencies, ECB & BoE Watched Dollar extends its rally against Canadian dollar and strengthens against Aussie today. However, while the greenback is firm against European majors and yen, the strength is limited. US equities dropped mildly overnight as consolidations continued and that was followed by mild weakness in Asian stocks. Treasury yields closed higher following the solid ADP job report but closed quite a bit below the intraday high. 10 year yield struggled to reclaim 3% handle. Reactions from FOMC minutes were muted as markets are looking forward to the ECB and BoE announcement today and employment data from US tomorrow. Full Report Here...
Featured Technical Report
AUD/USD Daily Outlook Daily Pivots: (S1) 0.8881; (P) 0.8916; (R1) 0.8937; More... AUD/USD weakens mildly today but stays in range above 0.8821 and intraday bias remains neutral. Again, the pair remains in near term falling channel and outlook stays mildly bearish. Break of 0.8821 will extend larger decline to next medium term fibonacci level at 0.8544. Meanwhile, considering bullish convergence condition in 4 hours MACD, break of 0.9004 should confirm short term bottoming and would bring stronger rally to 0.9166 and above. 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

2014 Elliott Wave Forecast

Economic Indicators Update

GMT	Ccy	Events	Actual	Consensus	Previous	Revised
21:45	NZD	Building Permits M/M Nov	11.10%		-0.60%	0.30%
0:30	AUD	Retail Sales M/M Nov	0.70%	0.40%	0.50%
0:30	AUD	Building Approvals M/M Nov	-1.50%	-3.00%	-1.80%	-1.60%
1:30	CNY	CPI Y/Y Dec	2.50%	2.70%	3.00%
1:30	CNY	PPI Y/Y Dec	-1.40%	-1.30%	-1.40%
9:30	GBP	Visible Trade Balance (GBP) Nov		-9.4B	-9.7B
10:00	EUR	Eurozone Economic Confidence Dec		99	98.5
10:00	EUR	Eurozone Industrial Confidence Dec		-3.3	-3.9
10:00	EUR	Eurozone Consumer Confidence Dec F		-13.6	-13.6
11:00	EUR	German Industrial Production M/M Nov		1.50%	-1.20%
12:00	GBP	BoE Rate Decision		0.50%	0.50%
12:00	GBP	BoE Asset Purchase Target Jan		375B	375B
12:30	USD	Challenger Job Cuts Y/Y Dec			-20.60%
12:45	EUR	ECB Rate Decision		0.25%	0.25%
13:15	CAD	Housing Starts Dec		196K	192.2K
13:30	CAD	Building Permits M/M Nov		-2.30%	7.40%
13:30	CAD	New Housing Price Index M/M Nov		0.20%	0.10%
13:30	USD	Initial Jobless Claims (JAN 4)		337K	339K
15:30	USD	Natural Gas Storage			-97B

Orders and Options Watch

US Session: Orders and Options Watch

EUR: Despite intra-day brief fall to 1.3567, the single currency found good buying interest above just below previous support at 1.3571 and buy orders are still seen at 1.3550-60, more bids are expected at 1.3525-30 with bigger stops building up below 1.3520, fresh demand should emerge around 1.3500 and further out at 1.3485. On the upside, offers remain from 1.3635 up to 1.3660, more sell orders are located at 1.3680 and further out at 1.3700, selling interest in good size is tipped at 1.3725-30 with stops placed above 1.3750 and 1.3780.

Trade Idea: USD/CAD - Hold long entered at 1.0650

As the greenback has rallied after finding renewed buying interest at 1.0641 and broke above previous resistance at 1.0737, adding credence to our bullish count that recent upmove has resumed in wave (c), upside bias remains for the upmove from 1.0182 low to extend further gain to 1.0850-60, however, near term overbought condition should limit upside to 1.0900-10, risk from there is seen for a correction to take place later.

Trade Idea: EUR/GBP - Buy at 0.8250

As the single currency has fallen again after brief recovery to 0.8332 earlier this week, retaining our view that near term risk remains for the fall from 0.8467 to extend marginal weakness and break of previous support at 0.8252 cannot be ruled out, however, loss of downward momentum should prevent sharp fall below 0.8325-30 and bring another rebound later, above 0.8332-35 would suggest low is possibly formed