The U.S. dollar is being taken out to the woodshed this morning against the Japanese yen with the USD/JPY lower by 1.5% on the U.S. session. With a steady trek from the lower left hand corner to the upper right hand corner in the daily chart of the USD/JPY what changed literally overnight?
With Aussie dollar hitting 11 month lows and price barreling towards 1 year lows of .9602 set last June. This is your target to re-load the gun after taking profits.
The Aussie dollar is off 1.4% over the last 2 days and through key support at 101.80. We have been talking this trade for a few weeks now and from April 11th (eve of the Gold plunge) now -3.5%.
During periods of time when traders are staring out across the FOREX markets during a global currency wars especially with the huge easing measures the Bank of Japan began this week.
The Aussie dollar is slightly weaker on the day after hitting a month high and consequentially resistance yesterday. The pair is feeling pressure from financial banking crisis in Cyprus as sentiment flows from riskier currencies to safety currencies such as the U.S. dollar.
The Aussie dollar continues to be under pressure against the U.S. dollar at the start of the U.S. session after Federal Reserve’s policy meeting notes indicated the central bank is considering reducing its bond buying program sooner than originally stated.
The Aussie dollar has been moving lower all week against the U.S. dollar as traders focus on the possibility the Reserve Bank of Australia (RBA) will cut interest rates once again. During the overnight Asia session the traders sold the risk on AUD/USD currency pair in effect placing a risk off bet.
Currency markets continue to be a battleground for the bull and bears as they fight for market direction on mixed global data. Earlier today the U.S. dollar bulls received better than excepted economic data while the bears continue to focus on uncertainty in Spain and Greece.