AUDUSD: The Australian dollar was sharply higher Friday following positive leads from U.S. economic data overnight and a growing consensus that the final detail on a Greek bailout will emerge early next week.
The Australian dollar would remain strong in the foreseeable future thanks in large part to the mining boom.
We expect a range for today in AUDUSD rate of 1.0730 to 1.0810
We set SHORT order for AUDUSD above 1.0800
Stop loss at 1.0860
Target at 1.0730 and 1.0680
EURUSD: Euro-zone finance ministers are near agreement on a EUR130 billion bailout for Greece, but several outstanding issues remain just days before a meeting that aims to close the deal in Brussels.
The aid and austerity program under consideration doesn’t go far enough to alleviate Greece’s debt burden, and officials are still trying to figure out a way to close the gap.
Greece has committed to cutting its debt to 120% of its gross domestic product in 2020, but the package would reduce it only to 129% from a present level of around 160%.
The euro enjoyed a rare respite as no major whipsaws hit the single currency this week, with speculators paring their bets against it by 5%. Traders held a net $24.4 billion in bets that the euro will decline, or 148,641 contracts.
We expect a range for today in EURUSD rate of 1.3150 to 1.3230
WE AVOID TRADING THE PAIR TODAY!
USDJPY: Speculative investors in the latest week nearly halved their wagers on continued yen strengthening, cutting their net position by 48% to $4.7 billion as of Feb. 14, government data showed Friday.
Traders speculating on the Chicago Mercantile Exchange held a net 29,459 contracts betting the yen will appreciate, according to the Commodity Futures Trading Commission’s weekly report on the commitments of traders. Although the CME traders make up a small group, their activities are understood to signify hedge-fund investors’ order flows.
Wagers in favor of the dollar’s appreciation on the other side of those yen bets rose by 73% to $15 billion, the CFTC data showed.
We expect a range for today in USDJPY rate of 79.30 to 80.10 (There is a psychology resistance at 80.00)
WE AVOID TRADING THE PAIR TODAY!
