Wednesday, April 30, 2014

Action Insight Daily Report 5-1-14

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 Stays Pressured after FOMC Tapering Dollar was under much pressure since yesterday's disappointing GDP figure and stayed weak after FOMC announced further tapering as widely expected. The dollar index breached 79.50 handle overnight but is now taking a breath at the time of writing. In the currency markets, Canadian dollar remains the strong currency this week, closely followed by Sterling, which gathered some momentum yesterday. Yen is the weakest currency but it's generally stuck in range against other majors. Many European markets are on holiday today but there are Some important economic data scheduled to be released from UK and US. Full Report Here...
Featured Technical Report
USD/CAD Daily Outlook Daily Pivots: (S1) 1.0942; (P) 1.0960; (R1) 1.0978; More... As noted before, the recovery from 1.0857 could have completed at 1.1052 already. Intraday bias is mildly on the downside for retesting 1.0857 first. Break will extend the correction from 1.1278 and should target 50% retracement of 1.0181 to 1.1278 at 1.0730. On the upside, above 1.1052 will turn bias to the upside for extending the recovery from 1.0857. Such rise is viewed as the second leg of the correction pattern from 1.1278. We'd expect strong resistance above 61.8% retracement of 1.1278 to 1.0857 at 1.1117 to bring reversal to start the third leg. 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
1:00	CNY	Manufacturing PMI Apr	50.4	50.5	50.3
1:30	AUD	Import Price Index Q/Q Q1	3.20%	1.80%	-0.60%
8:30	GBP	PMI Manufacturing Apr		55.4	55.3
8:30	GBP	Mortgage Approvals Mar		72.0K	70.3K
8:30	GBP	M4 Money Supply M/M Mar			0.70%
8:30	GBP	M4 Money Supply Y/Y Mar			0.70%
11:30	USD	Challenger Job Cuts Y/Y Apr			-30.20%
12:30	USD	Initial Jobless Claims (APR 26)		319K	329K
12:30	USD	Personal Income Mar		0.50%	0.30%
12:30	USD	Personal Spending Mar		0.60%	0.30%
12:30	USD	PCE Core M/M Mar		0.20%	0.10%
12:30	USD	PCE Core Y/Y Mar		1.20%	1.10%
12:30	USD	PCE Deflator M/M Mar		0.20%	0.10%
12:30	USD	PCE Deflator Y/Y Mar		1.20%	0.90%
14:00	USD	ISM Manufacturing Apr		54.2	53.7
14:00	USD	ISM Prices Paid Apr		59.3	59
14:00	USD	Construction Spending M/M Mar		0.60%	0.10%
14:30	USD	Natural Gas Storage			49B

Orders and Options Watch

US Session: Orders and Options Watch

EUR: The single currency dropped quite sharply on lower-than-expected eurozone inflation data, bids at 1.3850 and 1.3825-35 were filled, mixture of bids and stops at 1.3800 is in focus, more buy orders are tipped at 1.3775-85 (stops below), fresh demand should emerge around 1.3750 (stops below), 1.3725 and further out at 1.3700. On the upside, offers are lowered to 1.3830, 1.3850 and in good size at 1.3870-80 (stops above), indicated sell orders (option related) remain at 1.3885-00 (with stops building up above barrier at 1.3900 and 1.3910), fresh offers are expected at 1.3925 and in good size further out at 1.3940-50.

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Forex Trade Ideas

Trade Idea Wrap-up: USD/CHF - Sell at 0.8825

As the greenback reversed intra-day brief rise to 0.8851 and broke below the Ichimoku cloud, suggesting the rebound from 0.8770 has ended there and consolidation with downside bias is seen for test of this week's low of 0.8770 but break there is needed to retain bearishness and extend the fall from last week's high of 0.8862 towards this month's low of 0.8743

Trade Idea Wrap-up: GBP/USD - Buy at 1.6840

Cable's intra-day rally above 1.6900 adds credence to our view that recent upmove has resumed and this breach of previous chart resistance at 1.6879 suggests further headway to 1.6905-10 (50% projection of 1.6555-1.6842 measuring from 1.6763) and later towards 1.6940-50 (61.8% projection) would be seen but price should falter well below psychological resistance at 1.7000 due to near term overbought condition.