Friday, 12 July 2013

Producer Price Index and Michigan Confidence



Hi, fellow traders. This is the last day of the week and we might expect some volatility as it often gets pretty wild on Fridays. Dollar has been beaten recently and today’s data will either save it for the time being on the fall will accelerate. Nothing interesting happened during European session and traders are eagerly waiting for news from US to provide some stimulus and momentum for price action in various currency pairs. What events are scheduled in the next few hours?

One is US Producer Price Index, which is data of medium importance, but can still move markets if data comes in as surprise. That is released at 12:30 GMT. Another is Michigan Confidence and is marked as of high importance. I would not really agree to that, but market does react to it and past experiences show that it can create big moves in the market. That is to be released at 13:55 GMT. My personal preferences go to longing Euro against British Pound, Australian Dollar and New Zealand dollar as well as shorting US dollar. I particularly expect continuation of an uptrend in eur/gbp pair. It has been trying to push through 0.8600 level for a long time and now it holds above it. Let us see if Euro is able to make new highs today.

No comments:

Post a Comment