welcome to IGTFX Daily FX Report. A new month in 2010 and we expect a lot of interesting economic data around the world. Today with IGTFX we analyzed the EUR and have some news from Europe. Anyway, we wish you a good start in March.
IGTFX Market review
The JPY weakened versus its most traded counterparts on speculation that the European Union governments will rescue Greece to reduce their financial debt. IGTFX research This decreased the demand for the JPY as a refuge. The EUR advanced against the GBP after the French Finance Minister Christine Lagarde said that European governments are studying ways to assist Greece before the EU Affairs Commissioner Olli Rehn and Greek Prime Minister George Papandreou meet today. The USD traded near the lowest level in almost a week versus the AUD on speculation a report will show today that U.S. manufacturing expanded last month at a slower pace. The JPY started the week versus the EUR at the same level and traded at 121.24.IGTFX research The USD rose against the EUR to 1.3599. Furthermore against the JPY the USD increased to 89.15. IGTFX research The AUD was at 0.8959 versus the USD and the GBP continued its losses for a fourth day against the EUR to 0.8975.
The Reserve Bank of Australia will meet this week. A lot of financial experts expect that they will increase the benchmark interest rates tomorrow from 3.75% to 4.00%.
IGTFX research With the ending of February, the EUR could recover from its bearish trend against the NZD and has been trading in a bullish trend. Recently, the currency pair fell to its lower Bollinger Band. In the last two weeks, whenever the EUR touched its lower Boll, the prices recovered and rose to the upper Bolls. Also the RSI may indicate an increasing trend and a continuing upward trend.
As you can see the EUR has been trading in a bearish trend against the CAD since the beginning of February. With the last week in the past month, the currency pair recovered from its downward trend. But now it seems that the EUR will cross its Pivot Point from the top and may fall to its support at 1.4155. Furthermore the MACD could support a pull back with a breakthrough by the signal line.