Nov. 26: American session
Foreign exchange markets in recent days are responding quite strongly to the publication of any fundamental data. But , at the same time , the main theme of the day continues to be a monetary policy of central banks around the world.
So , U.S. dollar currency pair began to strengthen harshly after the release of positive data on building permits in the United States . In October, the number of issued permits reached 1,034 million versus analysts' forecast of $930,000. Seemingly, it is not such a critical number, but the currency pair EUR / USD decreased to 1.3519 morning levels , after the formation of the Day high at the level of 1.3572 . A degraded CB Consumer Confidence Index for the last month, which had been published later , tuned bulls on new purchases and returned the currency pair to daily highs . In the meantime, auctions are held at the level of 1.3550. It is not unlikely that bullish trend will intensify. GBP / USD pair in the U.S. session has also tested the morning levels, forming a minimum at 1.6137 , but at the moment storming session highs near 1.6190 .
Pair USD / CHF could not continue the corrective recovery today. Buyers were exhausted during the next approach to around 0.9115 and currently trades are carried at a session low - 0.9075. This means that the bears won the battle and the downtrend continues. Lull has set in on the market USD / JPY. This currency pair consolidated during the whole day in a narrow sideways channel 101.33-101.60 which remains today. Obviously, the recent resistance 101.30 is now playing a supporting role, from which new purchasing of this currency pair may happen.
Commodity currencies completed corrective recovery and continue to fall after the assistant head of the RBA, Lowy, comments about possible intervention by the Bank. AUD / USD has not been able to rise above the 0.9200 figure . Trades take place at a session low 0.9087 . NZD / USD also updated yesterday's low , going down to 0.8153 from 0.8264 day high . The likelihood of further depreciation of the currency pairs is very high.
USD / CAD tested the 1.0520 support in the U.S. session again and possibly tuned for continued growth . Session high is formed at the level of 1.0560, which can be updated by bulls.
Tatiana Norkina , FBS analyst