JPY: Return to recession but no enthusiasm for weaker yen – NAB

FXStreet (Delhi) – Research Team at NAB, notes that the Q3 GDP estimate on 16 November confirmed Japan falling back into recession (if defined as two consecutive quarters of negative growth) and this is for the fourth time since Q3 2010 that the economy has been in recession.

Key Quotes

“In fact, the economy has now spent more time experiencing negative than positive growth in the past five years (eleven of the last twenty quarters). Real GDP has at least expanded during this period but by only 1.9%, so about 0.4% per year on average. This is despite a 30% fall in the yen since Abe’s election.”

“When central bank policy medicine is not seen to have worked particularly well, the typical response has been to increase the dosage. In the case of the Bank of Japan, this last occurred in October 2014.”

“At present, and as evidenced by the latest (19 Nov) ‘unchanged’ BoJ policy decision, there is limited enthusiasm for step-up in the intensity of the current QQME programme, one consequence of which would be to add to downward pressure on the yen. With so much focus on improving business investment, and urging rises in real wages to support consumption, a still weaker yen that would erode Japanese consumers’ purchasing power is not currently on the radar.”

EUR/USD: cautiously bearish – Scotibank

FXStreet (Guatemala) – Eric Theoret, CFA, CMT FX Strategist at Scotiabank explained that the EUR/USD short-term technical are bearish, with caution.

Key Quotes:

“EUR has touched a fresh multi-month low with a clear break under 1.0600.”

“Risk levels from here include the April 2015 low at 1.0521 and the mid-March 2015 low at 1.0458.”

“However, we are cautious as we note the ongoing risk exhibited in the positive divergence between momentum indicators and spot as the MACD and RSI fail to confirm the fresh lows in EUR.”

“A consideration of the rising trendline off the November 2000-March 2015 lows suggests support around 1.0560. A clear break would raise the risk of a violent decline toward the 2015 lows and beyond.”
For more information, read our latest forex news. Latest News

RBA will take a festive chill-pill – UOB

FXStreet (Guatemala) – Analysts at UOB Group noted the RBA’s steady stance until February.

Key Quotes:

AUD kept strong gains of 0.90% to 0.7257 after RBA’s Stevens said markets should “chill out” for the festive season and only reassess economic data in Feb, effectively rendering the RBA meeting next Tues a non-event.”
For more information, read our latest forex news. Latest News

Day Trading: Day Trading Strategies For Beginners (Day Trading For Beginners)

Day Trading: Day Trading Strategies For Beginners (Day Trading For Beginners)

Get This Best Selling Guide On Day Trading Today For A Limited Time Discount!
Professional Day Trader Terrence Robson Shares His Secrets To Success
If you want to know how the market actually works and how you can make it work for you, then the Day Trading: Beginners Guide to Day Trading is for you. You can learn the use of different tools, trading techniques, and strategies. It will be a guide for you to arm yourself with all necessary skills to win the battle of profit and loss in


More Day Forex Trading Products

Bringing Together Information on How To Build Your Wealth Through Forex Trading