Dollar Closes Higher Against Selected Currency Markets

The U.S. Dollar finished higher against a select few of currency markets in a trading session that was highlighted by volatility and trading surprises.

The U.S. Dollar finished higher against a select few of currency markets in a trading session that was highlighted by volatility and trading surprises.

The EUR USD managed to close higher after several intraday attempts to break it lower throughout the trading session. From the opening the Euro traded lower on poor economic news but erased all losses following a supportive statement from European Central Bank President Trichet.

The GBP USD finished the day up sharply following rumors the Bank of England may end its asset buyback program early. The initial thrust to the upside this morning came following bullish comments from a Bank of England official.

The USD CAD posted a dramatic closing price reversal bottom. Short investors were getting nervous about holding positions so close to parity and decided to take profits. Some traders feared the Bank of Canada would step in to stop the rally in the Canadian Dollar following comments earlier this week from Prime Minister Harper.

The USD JPY posed a strong gain today, boosted by comments from Japanese Finance Minister Fujii. He triggered a strong break in the Yen when he restated his position about its value

The AUD USD and NZD USD rallied on the possibility of interest rate hikes in Australia and New Zealand.

James A. Hyerczyk has been actively involved in the futures markets since 1982. He has worked in various capacities within the futures industry from technical analyst to commodity trading advisor. Using W. D. Gann Theory as his core methodology, Mr. Hyerczyk incorporates combinations of pattern, price and time to develop his daily, weekly and monthly analysis. His firm, J.A.H. Research and Trading publishes The Forex Pattern Price Time Report... More

Disclainer: