AUDUSD: The Australian dollar was higher late Wednesday after trading above US$1.0300 for the first time in two months, as local data showed the economy might not be as weak as earlier thought.
Retail sales rose a seasonally adjusted 0.5% in May, better than the 0.3% rise expected by economists, with shoppers returning to department stores and eating out more frequently, according to the Australian Bureau of Statistics.
Economists said the solid spending showed the domestic economy is strong, with support coming from interest rate cuts over recent months and a fresh wave of government handouts for families.
We expect a range for today in AUDUSD rate of 1.0200 to 1.0300 (We shorted AUDUSD at 1.0246 got hit at the stop loss 1.2580)
We re-Sell AUDUSD at current market price 1.0270 ranges
Stop loss at 1.0315
Target at 1.0210 and 1.0180
EURUSD: Spanish and Italian government bonds edged lower Wednesday, after a mildly positive start to the session as markets prepared for potentially market-moving events in the next two days.
On Thursday, the Kingdom of Spain returns to the markets looking to sell up to 3 billion euros ($3.8 billion) of three- to 10-year bonds, which will be a litmus test of investor sentiment following the decision at last week’s European Union summit to allow bailout mechanisms to directly recapitalize banks rather than channeling the funds through governments.
Ahead of the auction, the European Central Bank and the Bank of England will announce their latest monetary policy decisions. On Friday the influential U.S. nonfarm payroll figures for June will give an updated view of the labor market.
We expect a range for today in EURUSD rate of 1.2480 to 1.2550 (We was shorting EURUSD at 1.2650 and booked our profit at 1.2570)
We set limit BUY order for EURUSD at 1.2420
Stop loss at 1.2370
Target at 1.2550 and 1.2580
USDJPY: Orders for U.S. factory goods rose more than expected in May, after declines the prior two months, but headwinds appear to persist for sector that has recently shown signs of sputtering.
Orders for manufactured goods increased 0.7 % in May to a seasonally adjusted $469.04 billion, the Commerce Department said Tuesday. Economists surveyed by Dow Jones Newswires had expected factory orders to grow just 0.1% from the prior month.
Orders for April were revised to an 0.7% decline from a previously reported 0.6% slip.
We expect a range for today in USDJPY rate of 79.50 to 80.10 (Cancel last week order)
We set limit BUY order for USDJPY at 79.45
Stop loss at 79.15
Target at 79.85 and 80.10
