Chilean Peso Falls as US Economy Reduce Risk Appetite

The Chilean peso fell today as the economic data suggested that the US economy is slowing, therefore reducing demand from investors for higher-yielding, but riskier, currencies. The economic report showed that the US housing market and manufacturing industry slowed last month. The global economy also doesn’t provide reasons for optimism. The Thomson Reuters/Jefferies CRB Index of raw materials fell for the third consecutive session. Stocks also declined. USD/CLP rose … “Chilean Peso Falls as US Economy Reduce Risk Appetite”

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South African Rand Erases Gains on Inflation & Retail Sales

The South African rand pared its gains today after the reports showed that inflation grew less than predicted and retail sales decreased. The consumer prices in South Africa grew 4.3 percent in April, while forecasts promised growth by 4.4 percent. The retail sales slowed for the third straight month. The macroeconomic data, together with the decline of commodities and decreasing demand for higher-yielding currencies, creates a very unhealthy environment for the South African … “South African Rand Erases Gains on Inflation & Retail Sales”

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USD/CAD and GBP/USD Technical Analysis

USDCAD: Holding Cautiously Above The 0.9709/20 Zone. Having rallied and closed above the 0.9709/20 levels, its April 18/May 05’2011 high on Monday, we believe further gains should follow though price hesitation is now seen. Guest post by www.fxtechstrategy.com This development supports its corrective strength started from the 0.9446 level, its 2011 low. Further out, 0.9824 … “USD/CAD and GBP/USD Technical Analysis”

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NZD/USD: Trading the New Zealand PPI

New Zealand release inflation data only once per quarter, making the publication a big event that impacts rate decisions. The upcoming release holds low expectations, that might turn into a very strong moves. Here are the details about this event, and 5 possible scenarios for NZD/USD reactions. Published Tuesday, 22:45 GMT. Indicator background Inflation numbers … “NZD/USD: Trading the New Zealand PPI”

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Pound Weakens Ahead of Macroeconomic Reports

The Great Britain pound fell as speculators cut their bets on an interest rates hike by the UK central bank, but the currency attempts to pare its losses as the economic data is expected to show that inflation has accelerated. The report from Office for National Statistics on the consumer prices is expected to show an increase by 4.2 percent in April, following the 4.0 percent advance in March. Home prices jumped to the highest level since 2008 … “Pound Weakens Ahead of Macroeconomic Reports”

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Aussie Falls vs. Euro, Recovers vs. Greenback & Yen

The Australian dollar dropped against the euro after the report showed that the number of home loan in Australia unexpectedly decreased. The currency erased losses versus the US dollar and the Japanese yen as commodities and stocks slowed decline. The Standard & Poor’s 500 Index was little changed after falling earlier 0.5 percent. The Thomson Reuters/Jefferies CRB Index of raw materials was little changed, following a decline by 0.4 percent. The number of home … “Aussie Falls vs. Euro, Recovers vs. Greenback & Yen”

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And the winner is…

Alex Zalts got the highest number of votes in the technical strategy competition. I must say that the race was tight. Congratulations! You’ve won the book Essentials of Foreign Exchange Trading by James Chen, a highly regarded technical analyst. Quite a few interesting strategies were presented in the comment for this competition. Thanks everybody for participating. … “And the winner is…”

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Euro Rises Even as Outcome of EU Meeting Remains Uncertain

The euro rose today even as today’s meeting of the European Union policy makers in Brussels can result in restructuring of Greece’s debt, fueling concerns about Europe’s credit crisis. Greece wants extensions of its credit maturities, but other European countries, Germany especially, demand bigger budget cuts before providing more aid. Volker Kauder, the parliamentary leader of the Christian Democratic bloc, said that there will be “No … “Euro Rises Even as Outcome of EU Meeting Remains Uncertain”

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Franc Gains Before Meeting of EU Finance Ministers

The Swiss franc strengthened today before the meeting of the European Union finance ministers today, where they’ll discuss the debt issues. The ministers will negotiate about the terms of the bailout for Greece. Another theme of the discussion will be €78 billion ($110 billion) aid for Portugal. It looks like market participants don’t believe that this meeting will help Europe in any meaningful manner and seek safety of the Swiss currency. USD/CHF … “Franc Gains Before Meeting of EU Finance Ministers”

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