Last Friday, a lot of trader are expecting not so good news for the U.S NFP news. Similarly, I had that perception that the U.s wasn’t doing that well, not to mention that the NFP should be negative too. The EURUSD, GBPUSD traded higher, breaking 1.33 and 1.56 respectively. However the Unemployment rate edged up by 0.1% (not surprisingly, given that there are more Unemployment Claim recently) and NFP created 175K jobs against 165K expected.
And over the weekend, China Trade Balance posted slightly lower than expected, CPI & PPI is lower than expected, Fixed Asset Investment & Industrial Production showed 20.4% against 20.6% expected and 9.2% against 9.3% respectively.
Monday is Australia and China’s Bank Holiday.
Nevertheless, here are the analysis on the EURUSD, GBPUSD & AUDUSD.
Moving forward, this week more volatility is expected in the Japanese Yen pairs, the EURO, and Aussie & Kiwi at the start of the week. Moving into the mid-week, the NZD is expected more movement before the RBNZ rate decision. Thursday we want to look out for U.S Retail Sales to have an indication of consumer’s confidence in the economy. Also we are seeing if the Aussie creating more jobs and if Unemployment rate is higher than before. Lastly, we want to see U.S Consumer Sentiment at the end of the week/day before closing off. On the 14th, Abe is expected to give more direction with his “Third Arrow of the Abenomics” That will bring more firepower to the USDJPY pairs.
Happy trading ahead! 🙂
Alternate Forex View 