AUDUSD: Australia’s manufacturing sector grew for the second consecutive month in January but factory output remains constrained by the uncertain global outlook and strong offshore competition, a performance gauge produced by an industry group published Wednesday shows.
We expect a range for today in AUDUSD rate of 1.0540 to 1.0660
Set to short AUDUSD at 1.0660
Stop loss at 1.0730
Target at 1.0580 and 1.0550
EURUSD: The European Central Bank’s decision to inject massive amounts of long-term liquidity into the euro-zone financial sector has been cited as a key factor in driving down peripheral euro-zone government bond yields.
The injections, much like the U.S. Federal Reserve’s full-fledged rounds of quantitative easing, are credited with lifting investors’ overall risk appetite. That should be bad for safe-haven currencies such as the Swiss franc and the Japanese yen.
We expect a range for today in EURUSD rate of 1.3040 to 1.3160 (There might be a reversal downtrend for EURUSD)
We set to short EURUSD at 1.3160
Stop loss at 1.3230
Target at 1.3100 and 1.3050
USDJPY: Consumer expectations for economic activity over the next six months slipped only slightly, to 76.2 in January from a revised 77.0, first reported as 76.4.
The more-cautious results are in line with expectations among economists that nonfarm payrolls did not grow as robustly this month as they did in December. Economists expect only 125,000 jobs were added in January, less than the 200,000 created in December. The government’s job report is scheduled to be released Friday.
We expect a range for today in USDJPY rate of 76.00 to 76.60
Long USDJPY at 76.20 ranges
Stop loss at 75.50
Target 76.65 and 77.20
