The Canadian dollar found itself on the retreat. Housing and employment data are the main events this week. Here’s an outlook for the Canadian events and an updated technical analysis for USD/CAD.

Last week, Canadian economy expanded in January by 0.1% in line with expectations although in a more moderate pace than the 0.5% growth rate in December. The relatively slow growth rate…

Going Long or Short The Market

• If anything can go wrong, it will.

• If anything can't go wrong, it will.

• If you know…

GBPJPY – With the cross reversing its previous week gains to close higher the past week, the risk is for GBPJPY to strengthen further in the new week. In such a case, the 135.09 level will be targeted with a violation of there turning attention to the 136.97 level and subsequently, its April’2011 high at 139.99. Its weekly RSI is bullish and pointing higher suggesting further strength. On the downside, support lies at 130.08 level, Mar 02’2012 high where a breather may occur and turn the…

Next Monday early European opening range breakouts based on the previous week data.

Click on the table for more.

The Japanese yen was the top-performing G10 currency over the past two years. If the yen is going for a three-peat, it will have to dig itself out of a hole first.

The yen's slump this quarter became pronounced following a largely unexpected policy move by Japan's central bank on Valentine's Day. The Bank of Japan expanded its asset purchase program by 10 trillion yen and set its inflation target to 1 percent during its February 14 policy meeting. The recent turn of Japan's…

USDCHF: USDCHF remains vulnerable to the downside as it looks to weaken further. This development now leaves the pair targeting the 0.8929 level, its Feb 24’2012 low. Further down, the 0.8890 level, its Nov 03’2011 low will be targeted where a breach will call for further declines towards the 0.8700 level, its psycho level. On the upside, the pair will have to return above the 0.9334 level to resume its recovery. This will open the door for a run at the 0.9504 level, its Jan 13’2012 low and…

Equity futures in Europe are following the Euro currency higher as sentiment rises prior to regional finance ministers meeting held later today.  The meeting agenda will focus on the vote to increase the level of available bailout funds and so far the positive sentiment seen in markets has been generated by various comments from government officials suggesting that the vote will have no trouble passing with a majority.  Oil prices pushed higher for the first time this week and metals…

Equity futures in Europe are following the Euro currency higher as sentiment rises prior to regional finance ministers meeting held later today.  The meeting agenda will focus on the vote to increase the level of available bailout funds and so far the positive sentiment seen in markets has been generated by various comments from government officials suggesting that the vote will have no trouble passing with a majority.  Oil prices pushed higher for the first time this week and metals…

Buy GBP/USD @ 1.5980 Stop @ 1.5960 Target @1.6025 and 1.6040

Internationalization of the RMB by 2040?

by China Digital Times

With the renminbi in the headlines again last week after the People’s Bank of China set the dollar reference rate at a record high, The People’s Daily addressed the future of China’s currency on Monday:

China should mainly focus on the international settlement function of the renminbi…

10 Reasons The Reign Of The Dollar Is About To End

Michael Snyder at Business Insider

The U.S. dollar has probably been the closest thing to a true global currency that the world has ever seen. For decades, the use of the U.S. dollar has been absolutely dominant in international trade. This has had tremendous benefits for the U.S.…

BRICS Forex Pact Not Seen As Game Changer

By Eva Szalay Of DOW JONES NEWSWIRES

LONDON (Dow Jones)--A new push by key emerging markets to boost the role of local currencies when trading with each other could eventually challenge the greenback's dominance of global trade, but most experts see it as just symbolic, at least for now.

The heads of Brazil, Russia, India,…

Status:

1) 5-day EMA crossed below 22-day EMA first time since March 8th.

2) Tenkan-sen of daily ichimoku cloud crossed below Kijun-sen. The signal is a weak bearish signal but it signals some more downward move 

3) As mentioned during the weekly analysis on last Sunday, such a strong upward move warrants a consolidation.

Possible targets:

1) 55-day EMA support near 81.20.

2) Support of the upper edge of daily Ichimoku cloud near 81.30.

3)…

Concerns about Spain's ability to service its debt are brewing again.

Prime minister Mariano Rajoy, elected late last year, originally pledged to the European Commission to reduce Spain's budget deficit from the 2011 level of 8.5 percent of gross domestic product down to 4.4 percent. At a summit in Brussels on March 2, he made a surprise announcement that he would raise the country's deficit target to 5.8 percent.

Although Spain ultimately agreed on March 12 to a 5.3 percent…

US Dollar continued with its morning gain due to worsening economic condition and uncertainty in Spain. Its high borrowing cost and strike in the country further dented Euro that pushed European currency. Today’s (FRIDAY) budget could provide clearer picture that if Spain can seriously impose austerity measures to reduce its high deficit or will it succumb to the public pressure and will have to face similar situation/condition faced earlier by…

Tomorrow/today is the last trading day of March and Friday also, so some extra carefulness should be in place. As for the title, the last two weeks was pretty choppy with some extended consolidation periods on 1h and shorter time frames. Only Monday was good looking at price action. What to do when you can't see what is happening? Two things ...

1) You can stand aside and watch the charts until you get some idea/trade plan ... or

2) Switch to larger time frames (4h and…

I guess we are at the fourth wave of a choppy first wave of the fifth wave of the main downside trend at Eur usd. 

Short entry EUR USD from 1.33

Main targets are; 1,322 - 1,312 - 1,270

Good luck

Since the beginning of 2012, traders have started a big discussion about the Gold price, the news have speculated price movements for this precious metals. The question is will the price return to the September high or it will drop below 1.000 $? Today I will try to explain how I see the movement of this…

Today - Thursday 29th - was an interesting trading day for intraday traders. It started off after European and UK opens as busy and I was very pleased I made my main daily target early on. By mid day UK time the market was slowing down  and the main pair - the EU became very slow and showed no signs of any real direction.

Its it important that you do watch more then one pair- even if your are a short term trader and this can be shown below. The Eu was in a very tight range and over…