New York Forex Report: Traders Await November NFP’s

Following the markets clear disappointment regarding the easing measures announced by the ECB yesterday traders now await the November US jobs report, the final key employment data before the December 16th FOMC meeting. Non Farm Payrolls are expected to print 200k, down from the 271k previous whilst the Unemployment rate is expected to remain unchanged at 5%.

EURUSD
Outlook: Short Term (1-3 Days): Bullish – Medium Term (1-3 Weeks): Bearish

Fundamental: EUR traded  its biggest one-day surge in nearly seven years as the policy easing by the ECB missed investors’ wide expectations.EURUSD last traded at 1.0938 after the previous gain of 3.1 percent, its biggest gain since March 2009. It had been as low as 1.0538 which was a level not seen since April. ECB extended its QE programme by six month to March 2017 but the strength of easing remain unchanged.

Technical: While 1.09 caps intraday upside corrections, bears target a test of 1.05 next ahead of an assault on year to date lows. A close above 1.10 resets bullish ambitions.

Interbank Flows: Bids 1.0550 stops below. Offers 1.09 Stops above.
Retail Sentiment: Bullish
Trading Take-away: Sidelines

eu2015-12-04 07_50_13-NetDania - NetStation

GBPUSD
Outlook: Short Term (1-3 Days): Bearish – Medium Term (1-3 Weeks): Bearish

Fundamental: GBP pushed higher yesterday above the 1.51 handle as the Greenback faced a wave of selling across the board, weighed by a steep EURUSD rally and slightly disappointing US jobless claims data. UK’s services PMI in November has surprised markets to the upside, rising to 55.9 vs. 55.0 initially estimated and up from October’s 54.9

Technical:  While 1.5960 caps intraday upside potential to retest 1.50 before higher

Interbank Flows: Bids 1.49 stops below. Offers 1.51 stops above
Retail Sentiment: Bullish
Trading Take-away: Sidelines

gu2015-12-04 07_50_53-NetDania - NetStation

USDJPY
Outlook: Short Term (1-3 Days): Bullish – Medium Term (1-3 Weeks): Bearish

Fundamental: USD Index was on track for its biggest daily percentage loss since March 2009, and dropped 2.25 percent at 97.734. USDJPY hit 122.30s, its weakest level against the JPY in over a week.The whole market is patient for the US non-farm payroll due today as this data is directly linked to the possibility for Fed rate hike .

Technical: While 122.50/30 supports downside reactions, market structure remains bullish to test 2015 highs next. A failure at 122 opens a test of 121.40 support next ahead of pivotal 120.

Interbank Flows: Bids 122 stops below. Offers 124 stops above
Retail Sentiment: Bearish
Trading Take-away: Sidelines

uj2015-12-04 07_51_25-NetDania - NetStation

EURJPY
Outlook: Short Term (1-3 Days): Bearish – Medium Term (1-3 Weeks): Bearish

Fundamental: JPY firmed as the weak USD countered the gains on Wall Street, and with the impressive Q3 Japan capex countering a weaker Japan manufacturing PMI.

Technical:  While 134.10  caps upside reactions expect a retest of 132.50 from above to sett the platform for another leg higher.

Interbank Flows: Bids 130.50 stops below. Offers 133.50 stops above
Retail Sentiment: Bullish
Trading Take-away: Sidelines

ey2015-12-04 07_51_59-NetDania - NetStation

AUDUSD
Outlook: Short Term (1-3 Days): Bullish – Medium Term (1-3 Weeks): Bearish

Fundamental: AUD came off multi-week peaks after hawkish-sounding comments from the head of the Federal Reserve underlined the case for an interest rate hike this month and injured appetite for risk assets. The Australian dollar remained within reach of a seven-week high of 0.7361 undermined by the figures showing Australia’s trade deficit widened to $3.3 billion AUD, versus forecasts of $2.6 billion AUD, due in part to weaker commodity prices.

Technical: While .7170/50 remains the bid zone expect grind higher to test .7350 area next, only a close below .7150 concerns near term bullish bias.

Interbank Flows: Bids .7150 stops below. Offers .7350 stops above
Retail Sentiment: Bearish
Trading Take-away: Sidelines

au2015-12-03 07_32_21-NetDania - NetStation

USDCAD
Outlook: Short Term (1-3 Days): Bearish – Medium Term (1-3 Weeks): Bullish

Fundamental: CAD firmed against the USD, helped by a rebound in crude oil prices. Crude prices rallied ahead of an OPEC meeting today as investors hedged their positions in case of a surprise outcome, inducing the volatility in the Canadian dollar.

Technical: Bulls have the ball while 1.3280/60 supports intraday downside. A close below 1.3220 would ease the near term bullish bias and suggest a broader correction is underway.

Interbank Flows: Bids 1.3250 stops below. Offers 1.34 stops above
Retail Sentiment: Bearish
Trading Take-away: Sidelines

UC2015-12-03 07_43_52-NetDania - NetStation