Good Morning, Good Afternoon or Good
Evening where ever you are in the world. This is The Texas Trade Report for 6th
of December 2013. The highlight of this report is on the EUR/JPY as our focus
and some other pairs that were scanned as a result of Forex Trendy-Trend
Analyzer and Currency Pair Analyzer. Also, I do focus AUD, NZD, CAD bases pairs
and do trade the Yen crosses. For today we are focusing on EUR/JPY and other
currency crosses. Before I go any further, here is the risk disclaimer.
Risk Disclaimer:
Trading Forex is risky business and sometimes you will lose the money
that you traded. You are leveraged 50:1 or even more. There is the risk of loss
of the money have invested. Never invest money that you are not committed
losing. There is a possibility of losing your original investment. If you are
not sure about investing, seek the help of registered investment adviser.
Also, the purpose of this trading lesson is
education. This does not constitute trading advice. Nor do I give out trading
signals. All opinions are my own and not blogger.com nor Google.com.
On to the EUR/JPY, the Yen cross gave me
some egg on my face and went and surprise me by going 100 pips higher. It is
currently trading at 140.50 at the time of writing this. I said yesterday that
I maintained a biased that was bearish. I still maintain this view. Today, we
had in NFP, any Yen cross were sent higher as a result of the NFP. We had over
203,000 jobs come in from the NFP report. This sent the crosses like EUR/JPY
higher as well as USD/JPY. While the effects of the NFP number can linger for a
day or two. EUR/JPY remains technically overbought on the daily chart. The pair
has made all-time highs for this year. I remain short still because I do not
believe that the pair continues higher without a major retracement. It looks
like a one way trade with the Euro bulls leading the charge higher. I will
remain short in the coming days ahead.
One of pairs that Forex Trendy helps find a
trade possibility is on the AUD/CAD. The
pair has been trending sideways much like the AUD/USD currency pair. It is
currently trading at 0.9667. It could go higher to reach the high of 0.9731.
The numbers coming of China this Sunday with the trade balance figures including
exports and imports will tell how impacted the Aussie dollar has been due the
slowdown in chart this past year. If we get a good number, this will send the
Aussie dollar higher over its counterparts.
On to NZD/CAD, this has been another pair
that Forex Trendy caught on its radar.
NZD/CAD has hit the target of 0.8725 as I forecasted it would. Sure
enough, it is trading at 0.8758. I still remain bullish on this pair. As I
stated earlier that interest rate hikes are coming in 2014. This will send the
Kiwi higher. I would not want to be short. This pair goes much like its
counterpart, the NZD/USD and has been trending pretty much in the same fashion
of sideways. I still believe that it will go higher over the long term.
I do expect it to react in the same fashion as the
Kiwi currency pairs. We need to pay attention to the reports coming out of
China this weekend and see if any meaningful trend generation can form off of
those reports starting on Sunday.
The question that comes to my mind will the
data continue to support US dollar strength and send it higher against its
counterparts. We still need to see if a theme emerges for trends to continue.
We need risk theme. We may still get US dollar strength. A lot of the numbers we
can expect from the NFP report are jobs that are just seasonal like retail. We need
to see if those numbers are just that before we can say that it is a full on
economic recovery. Good luck trading out there everyone. I will put out another
report out on Sunday for our weekly report.If you like the information that has been presented, bookmark this page and the Texas Trade Report Blog in your favorites and send link to it to everyone you know. Blog about it on Facebook, Twitter it to friends and family. That is the way it unfolds.
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