Top Forex Reviews

AUDUSD: Maintains Bullish Its Tone.

AUDUSD: We continue to maintain our upside outlook on the pair having held above the 1.0026 level, its Dec 14’2010 high. With that said, further strength is likely towards its Nov 11’10 high at 1.0084 followed by the 1.0181 level, its Nov 05’10 high. Beyond that level will resume its long-term uptrend and bring further gains towards its psycho levels at the 1.0300 and 1.400 levels. Alternatively, to reverse its current gains, a return below the 0.9535 level must occur thus creating scope for more weakness. Furth Full post…

Today, we bring you an interview with Boris Schlossberg, director of currency research at GFT Forex, co-founder of BK Forex Advisors, and co-contributor to FX360. He is also a weekly contributor to CNBC’s Squawk Box and a regular commentator for Bloomberg radio and television. His daily currency research is widely quoted and appears in numerous newspapers worldwide. He is the author of Technical Analysis of the Currency Market (2006) and Millionaire Traders (2007). Below, Mr. Sc

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As I mentioned yesterday, we are a bit light on the ground data-wise this week so I apologise in advance if I repeat myself to pad the market analysis out. One point not mentioned was regarding the one day trade forum hosted by China overnight. In it, Vice-premier Wang Qishan expressed support for the European Unions attempts to control the sovereign debt crisis in Europe. The news helped the Euro claw back some of the losses incurred in the European and American trading sessions, but this morning’s announcement by rating agency Moody’s that it is placing Portuguese debt on review in light of a possible downgrade, means the Euro has started the day on the back foot. On

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SAN FRANCISCO (MarketWatch) — Canadian stocks slid Thursday, taking some of the shine off a weekly advance of more than 1%, as miners and banks gave back some of their recent gains. The S&P/TSX Composite Index /quotes/comstock/11t!i:isptx (CA:$ISPTX 13,371, -9.50, -0.07%) was down 9.4 points, or 0.1%, at 13,371.7, led by a 0.6% drop in its diversified metals index. Energy was a bright spot as oil futures ran past $91 a barrel, at two-year highs. The Canadian dollar rose after the government reported gross domestic product edged up 0.2% in October from the prior month, a swing from the prior month’s drop but short of expectations.

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Despite near-unanimous endorsement among mainstream advisors, the strategy of portfolio diversification has a huge, glaring flaw: Namely, when large sums of liquidity begin to flow into global investment markets, formerly disparate trends become strongly correlated. And

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-Markets were relatively quiet this week and there was practically no bad news to derail the moderately optimistic tone of December trading. Good US and German economic data sustained hopes for continued economic recovery in the developed world, and China’s decision stick with reserve ratios raises to manage its red hot economy (rather than interest rate hikes) kept up risk appetite. In Germany, the Dec ZEW and Manufacturing PMI data were decent. There was a trio of strong US industrial reports: the Fed’s Nov industrial production index grew for the fifth consecutive month, the Dec Empire Manufacturing survey came in at twice the expected amount and the Dec Philly Fed survey hit its best level since 2005. Full post…

Based on nominal exchange rates, the Chinese Yuan has appreciated by a modest 2% against the US Dollar since the month of September (when the People’s Bank of China (PBOC) adjusted the currency peg for the first time in nearly two years). If you take inflation into account, however, the Chinese Yuan has risen by much more. In fact, if current trends persist, the Chinese Yuan exchange rate controversy might resolve itself.

Demands from the international community for China to appreciate its currency hinge on two related arguments. T

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LONDON (MarketWatch) — Additional spending cuts or tax hikes will be needed for Ireland to meet its goal of reducing its budget deficit to the European Union limit of 3% of gross domestic product by 2015, the International Monetary Fund said in a report released Friday. IMF staff project that under the government’s planned austerity measures, the deficit will fall from 32% of GDP in 2010, which includes bank bailout costs, to 4.8% in 2015. The IMF’s growth forecasts for Ireland are weaker than those held by the Irish government.

NEW YORK (MarketWatch) — The dollar headed down in early U.S. trading on Monday, giving up an earlier advance, as U.S. stock futures gained ground on strong Chinese economic data and the government’s unexpected decision not to raise its interest rates. The data fuelled hopes of stronger global growth, supporting investors ‘appetite for riskier assets like stocks and commodities and less demand for the relative safety of the greenback. The dollar index /quotes/comstock/11j!i:dxy0 (DXY 79.33, -0.74, -0.92%) , a measure of the greenback’s performance against a basket of six other currencies, slipped to 79.903 from 80.067 in late North American trading Friday.

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After a stellar 2009, the Canadian Dollar (”Loonie”) has had a relatively lackluster 2010 against the Dollar, rising by only 3-4%. As the Loonie has inched (back) towards parity, it has encountered significant resistance. I think there is reason to believe that the currency has reached its limit, and that there are little prospects for further appreciation for at least the first half of 2011.

Everyone likes to think of the Canadian Dollar as a commodity currency, but I don’t think this is an accurate representation. Net e

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