| Action Insight Mid-Day Report | Yen Extends Rally as Treasury Yield Falls Again, Sterling Tumbles after BoE Minutes The Japanese yen is sharply higher in early US session following another round of sharp fall in treasury yield as traders seek safe investments following overnight weakness in Asian and European stock markets. In particular, China stocks closed -4.3% lower at new low below 2900 level. Also, note that USD/JPY has taken out an important fibonacci support at 94 level which argues that the sharp rally earlier this month was merely a false break and the whole down trend form 101.43 is still in force and the yen will likely continue to out-perform dollar in near term. Full Report Here... | | Special Reports | Review on BOE Minutes - King Wanted More Expansion On Bond-Buying The BOE minutes for the August meeting revealed that while all 9 members voted for expanding the bong purchase program, 3 of them, Governor Mervyn King, Timothy Besley and David Miles, preferred a 75B-pound expansion to a total of 200B pound while others favored 50B pound to 175B pound. Full Report Here... FX Forecasts Update: USD, EUR, JPY, GBP, CHF While the street has lifted forecast on EURUSD, current price level (1.413) suggests recent rally has been overdone and pullback to around 1.4 is needed. Moreover, as euro has risen more than 10% since March, further upside is limited. Credit Suisse stays 'tactically neutral' on the euro whose 'status as the primary alternate reserve currency to the USD has allowed it to stay firm even as rate differentials have moved against it of late, and we expect reserve diversification flows to provide underlying support for the pair going forward'. However, it's difficult for the currency pair 'to extend its gains absent a more supportive rate backdrop. This in turn may need to await more conclusive evidence that the Eurozone is participating in the global recovery'. Full Report Here... | | Elliott Wave Analysis | EUR/CHF Elliott Wave Analysis Despite rising marginally to 1.5364 last week, the subsequent retreat from there suggests upmove is not ready to resume yet and further consolidation below resistance at 1.5383 would take place and pullback to 1.5000/10 cannot be ruled out but as long as indicated support at 1.5006 (wave ii trough) holds, our bullish count remains for wave iii upmove in late Q3. Full Report Here... USD/CAD Elliott Wave Analysis As the greenback has rebounded again after finding renewed buying at 1.0792, retaining our view that the wave v of larger degree wave c has possibly ended at 1.0632 and upside bias remains for gain to 1.1307 (61.8% Fibonacci retracement of 1.1725 to 1.0632), a daily close above there would add credence to this count and further rise to 1.1490 (38.2% Fibonacci retracement of 1.2716 to 1.0632) would follow but resistance at 1.1725 (also just above 50% Fibonacci retracement of 1.2716 to 1.0632 at 1.1724). Full Report Here... | | Candlesticks & Ichimioku Analysis | EURGBP Candlesticks and Ichimoku Analysis The single currency continued to meet selling pressure right at the bottom of the Ichimoku cloud and further consolidation would be seen with mild downside bias for a retest of recent low of 0.8400, however, break there is needed to confirm the decline from 0.9805 top has resumed and extend to 0.8323 (approx. 100% projection of 0.9805 to 0.8637 measuring from 0.9491). Having said that, support at 0.8225 is likely to limit downside and 0.8171, being the 50% Fibonacci retracement of medium term rise from 0.6536 to 0.9805, should remain intact and bring rebound. Full Report Here... AUDUSD Candlesticks and Ichimoku Analysis Although the Australian dollar retreated from 0.8479 to 0.8156, the rebound from there has left another 'doji' star on the weekly chart, suggesting further consolidation would take place and only break of this support level would revive our early bearish view for a top formation at 0.8479 and bring correction to the Tenkan-Sen (now at 0.8090), then towards the flat ground Ichimoku cloud top (now at 0.7929). However, reckon support at 0.7700 would hold from here and bring rebound later. Full Report Here... | | Featured Technical Report | Market Highlights | USD/JPY Mid-Day Outlook Daily Pivots: (S1) 94.25; (P) 94.77; (R1) 95.20; More. USD/JPY's decline extends further in early US session and reaches as low as 93.74 so far. Break of 61.8% retracement of 91.73 to 97.77 at 94.03 suggests that whole rebound from 91.73 has indeed completed at 97.77 already. Short term outlook is turned bearish and deeper decline could now be seen to retest 91.73 low first. On the upside, break of 95.28 resistance will mix up the outlook again. Read more... All Technical Outlook Reports | Daily Top Movers | Top 5 | Current | Last | Change
(Pips) | Change
(%) | | GBPJPY | 154.15 | 156.78 | -263 | -1.71% | | NZDJPY | 62.83 | 63.85 | -102 | -1.62% | | CADJPY | 84.73 | 85.97 | -124 | -1.46% | | AUDJPY | 77.16 | 78.26 | -110 | -1.43% | | GBPCHF | 1.7634 | 1.7811 | -177 | -1.00% | Last Updated: Aug 19, 13:05 GMT Currency Heat Map Daily View | USD | EUR | JPY | GBP | CHF | CAD | AUD | | USD | | | | | | | | | EUR | | | | | | | | | JPY | | | | | | | | | GBP | | | | | | | | Last Updated: Aug 19, 13:05 GMT | | Economic Indicators Update | | GMT | Ccy | Events | Actual | Consensus | Previous | Revised | | 22:45 | NZD | PPI - Inputs Q/Q Q2 | 0.00% | -0.70% | -2.50% | | | 22:45 | NZD | PPI - Outputs Q/Q Q2 | -0.70% | -0.60% | -1.40% | | | 04:30 | JPY | All Industry Activity Index M/M Jun | 0.10% | 0.40% | 0.70% | | | 06:00 | EUR | German PPI M/M Jul | -1.50% | -0.20% | -0.10% | | | 06:00 | EUR | German PPI Y/Y Jul | -7.80% | -6.50% | -4.60% | | | 08:00 | EUR | Eurozone Current Account (EUR) Jun | -5.3B | -1.7B | -1.2B | | | 08:30 | GBP | BoE MPC Minutes | 0--0--9 | 0--0--9 | 0--0--9 | | | 10:00 | GBP | U.K. CBI Industrial Trends Total Orders Aug | -54 | -50 | -59 | | | 11:00 | CAD | CPI M/M Jul | -0.30% | -0.20% | 0.30% | | | 11:00 | CAD | CPI Y/Y Jul | -0.90% | -0.80% | -0.30% | | | 11:00 | CAD | BoC CPI Core M/M Jul | 0% | 0.10% | 0.00% | | | 11:00 | CAD | BoC CPI Core Y/Y Jul | 1.80% | 1.90% | 1.90% | | | 12:30 | CAD | Leading Indicators M/M Jul | 0.40% | 0.20% | -0.10% | | | 14:30 | USD | Crude Oil Inventories | | 1.1M | 2.5M | | | | Suggested Readings | Fundamental Highlights Technical Highlights | | | Forex Brokers | | | Sponsors | 
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