AUDUSD: Australian new home sales fell 0.2% in May from April, according to a joint report by the Housing Industry Association–a representative group for home construction firms–and building products manufacturer Jeld-Wen. Detached house sales lost 2.4%, with declines in four of Australia’s six states
Australia’s housing sector has been floundering in 2011 as higher interest rates, flooding in Queensland and stretched affordability have cooled demand. This comes as foreign hedge funds and even the International Monetary Fund have claimed the market could be 10% or more overvalued.
We expect a range for today in AUDUSD rate of 1.0700 to 1.0790 (The AUSSIE smashing another high record today 1.0775 ranges, we decide to short the pair at the current market price, stop loss at 1.0850, target at 1.0725, 1.0680)
EURUSD: A group of former euro-zone government leaders support a plan for the euro-zone to issue its own bonds and implement a “New Deal” economic stimulus program similar to the one undertaken in the U.S. in response to the Great Depression, German news magazine Der Spiegel reports Sunday.
Former government leaders Guy Verhofstadt of Belgium, Giuliano Amato of Italy, Michel Rocard of France and Portugal’s Jorge Sampaio support a plan which would use European Union-backed bonds to finance economic growth. Cash raised by issuing bonds could be used for projects further supported by the European Investment Bank. Proceeds generated from the investments would be used to service the interest on the bonds, according to the Spiegel report.
Such an investment model using EU-backed bonds could also be used to exchange some of the debts of countries like Greece, according to the plan.
We expect a range for today in EURUSD rate of 1.4500 to 1.4580 (The pair might be exhaust for further uptrend at 1.4580 and 1.4620 regions. We expect profit taken is on the way and further north is limited. Therefore, we set to short the pair at 1.4580-1.4610 ranges, stop loss at 1.4670, target down side at 1.4440 to 1.4380)
USDJPY: The White House and Congressional leaders are working to strike a deal that slashes budget deficits and raises the $14.29 trillion federal debt ceiling before August 2, the date on which the Treasury Department said the U.S. will default on its debts if Congress doesn’t raise the legal limit.
Top Senate Republicans Sunday said they are concerned that Congress will be presented with a last-minute budget deal and cautioned the White House to give lawmakers enough time to review any final legislative package.
The White House and Congressional leaders are working to strike a deal that slashes budget deficits and raises the $14.29 trillion federal debt ceiling before August 2, the date on which the Treasury Department said the U.S. will default on its debts if Congress doesn’t raise the legal limit.
We expect a range for today in USDJPY rate of 80.50 to 81.20 (We set to short the pair at 81.20, stop loss at 81.60, target at 80.70 down to 80.50)
