Forex Bull

The GBP/JPY is in a similar position as the GBP/USD in that the daily trend is down and the market has rallied off of the lows.

Japan’s exports to Asia fell in October for the first time since 2002, showing that the fallout from the credit crisis has spread to neighbors such as China and adding momentum to investors’ flight to the safety of cash.

The Reserve Bank of Australia spent a record-breaking 3.15 billion to intervene in the forex market and support the value of its currency. Japanese exports dropped by the largest amount in nearly seven years, pushing the Trade Balance into deficit.

Falling oil prices paired with increased demands for the U.S. dollar continues to favor a bullish outlook for the USDCAD, and we may see the pair work its way back to the October highs over the near-term.

U.K. retail sales are expected to have declined for the second month in a row in October. Economists are predicting that consumer consumption drop 0.9% following a 0.4% decline the month prior.

Continued here:
Identifying Trades with DailyFX 11.20.08 (Daily FX)

Here’s a video for this evening and some thoughts on where we may be headed next. The selling is looking rather climactic (although volume isn’t that heavy) and sentiment seems to be about as negative as I can remember. That doesn’t mean we are going to rally – let’s start with just an end to the selling first

Thu, 20th of November, 2008 By Setyo Wibowo (analyst@fxinstructor.com) EURUSD Outlook The EURUSD attempted to push higher yesterday.

The Japanese yen has traded very choppily lately, but remains below its October 24 highs where the low-yielding currency ran into critical resistance versus most of the majors.

The US dollar initially weakened versus the euro upon the release of US inflation figures, only to rebound in the afternoon as dim prospects for an auto industry bailout lead stocks lower and boosted demand for safe-haven assets.