www.TheLFB-Forex.com The Forex Trader Portal
Overall, the currency market made a short attempt to extend the moves seen during the prior day of trading, throughout the Asian session, but the lack of liquidity and momentum stopped the currency pairs from doing so. Ahead, the market is heading towards the European open, which is likely to have again a crucial influence over the forex market.
The euro (Eur/Usd) was unable to move anywhere decisively during the Asian session, as the pair is trading trapped between the 20 and the 50-day moving averages. However, this may change during the European open, when a large bulk of orders is likely to hit the market.
The pound (Gbp/Usd) attempted to break below the 20-day moving average, which notoriously has held the pound throughout the prior day of trading, but the pair ran out of steam to sustain the downtrend. Most likely, if the pound breaks lower, below the 20-day moving average, a strong wave of short orders will join the downtrend.
The aussie (Aud/Usd) is trading trapped between the 0.8100-0.8200 area, the same area that has managed to hold the pair steady for an extended period throughout the prior week. From this point going forward, the aussie will require the alignment of the global markets in order to break higher or lower, since these areas will require strong momentum to push past last week’s range.
The cad (Usd/Cad) extended the 35-pip range seen during the late U.S. session, throughout the Asian trading hours. On Wednesday, the pair gained approximately 100 pips, the most in almost a month, as the dollar strengthened across the board on cheaper crude oil.
The swissy (Usd/Chf) bounced from the 1.0900 area during the last few hours of trading, causing the pair to retrace a small portion of the uptrend seen during the U.S. session. For now, the swissy has a mixed outlook, as it has failed to sustain any important moves over the last few weeks.
The yen (Usd/Jpy) made a short attempt to test the high reached during the prior U.S. trading hours, but as expected, the breakout attempt failed. The yen traded side-ways for the rest of the Asian session, consolidating just below the 200-day moving average.
TeamLFB provides forex related market analysis and trade signals