AUDUSD: The Australian dollar ended slightly higher Thursday after a volatile 24 hours of trade that saw markets refocus on Europe’s debt woes.
Heading into a four day weekend in Australia, traders were content to move to the sidelines with U.S. employment data looming. The local stockmarket will reopen on Tuesday.
The disappointing Spanish debt auction overnight reignited the market’s concern about growth in Europe and the long road back to fiscal health for countries across the region.
We expect a range for today in AUDUSD rate of 1.0220 to 1.0350
We BUY AUDUSD at 1.0300 ranges
Stop loss at 1.0140
Target at 1.0370 and 1.0430
EURUSD: Greek lawmakers on Thursday approved an omnibus bill introducing a raft of growth measures aimed at helping boost the country’s recession-ravaged economy, in line with reforms commitments promised to international creditors.
After months of tough negotiations with international creditors, Athens secured a second bailout last month, on top of a EUR110 billion rescue package in 2010. An unprecedented debt-swap deal paved the way for the aid and will help slash the country’s debt ratio to 120% of gross domestic product in 2020 from the unsustainable 160% currently.
We expect a range for today in EURUSD rate of 1.3080 to 1.3190
We set limit BUY order for EURUSD at 1.3080 (continued to hold)
Stop loss at at 1.3020
Target at 1.3145 to 1.3230
USDJPY: Any strength in job creation in the U.S. will confirm market thinking that the U.S. Federal Reserve is a long way from considering further stimulus for the world’s largest economy.
New applications for jobless benefits fell to the lowest level in nearly four years last week, further evidence that U.S. employers likely added a healthy number of workers to their payrolls in March.
Initial jobless claims decreased by 6,000 to a seasonally adjusted 357,000 in the week ended March 31, the Labor Department said Thursday. That is the lowest level since April 19, 2008, before the onset of the recent financial crisis. The level of weekly claims has steadily declined since last fall.
We BOUGHT USDJPY at 81.80 (continued to hold)
Stop loss at 81.80 (from 81.30)
Target at 82.40 and 82.80
