Sunday Weekly EDGE 10-14-12

Before we get into the charts and notes (below) I thought I would share with you some of the articles that garnered my attention over the weekend.

This is an interesting article from Reuters outlining “how high” would certain Fed Governors allow inflation to rise before they raised rates. The very last statement from Charles Plosser is a key one.

Many central bankers around the world have been on the offensive about the Federal Reserves latest move on “QE Infinity” so the FT has a good article with the Fed on the defensive.

Although it seems like the weekend news on China’s Trade Balance have worn off (with futures negative by a point at writing) here is an article from Bloomberg citing the stabilization of China exports.

Here is a very interesting article from the WSJ over the weekend about the “Dividend Cliff.”

On the calendar this week we have China CPI this evening. Monday we have Retail Sales out of the US, CAD Business Outlook Survey, NZD CPI and AUD Monetary Policy Meeting Minutes. Tuesday we have GBP CPI and the BOE’s Inflation Letter, EUR ZEW Economic Sentiment, and US CPI. Wednesday GBP Claimant Count Change, MPC Meeting Minutes, and later that night China GDP. Thursday the EU Summit Kicks off, GBP Retail Sales, EUR Spanish Bond Auction and US Philly Fed numbers. Friday is CAD CPI and US New Home Sales.

Earnings this week will be Monday: C and GCI. Tuesday: FRX, KO and INTC. Wednesday: AXP, BAC, PEP, XLNX. Thursday: AMD, BSX, SNDK and FITB. Friday: SLB, MCD, BHI and HON. Obviously there are more companies releasing earning, those are just some of the highlights.

Lastly, most of you know that my team and I broadcast daily from 7AM ET through the NY stock market close. To access our live webinars daily (which are free, and our live in the market analysis has been for nearly 10 years now) just click on this link.

Here are some charts and notes on what I am seeing currently:

Hourly e-mini’s testing key support and that blue down trending blue line should offer key resistance.

$NQ_F hourly chart is similar. Heads up for the RSI that has worked off “oversold” conditions

$EURUSD daily chart with massive confluence of indicators as support near the 1.2800 level. As noted last week the 200 SMA is major support.

$AUDUSD Flag patter, double top, etc all coming into play. Bearish.

$NZDUSD 4 hour testing major support and MACD rolled over at the “0″ line. Bearish.

So much GBP centric news this week you have to keep and eye on the daily chart for the $EURGBP. Massive confluence of resistance just above .8100. A breakout could lead us back into the mid .80′s.

$HG_F breaking lower and key support at 3.55

You can follow me on Twitter or Stocktwits @pipczar

 

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About Blake Morrow

Blake Morrow is the Chief Currency Strategist for Wizetrade. Blake has over 15 years of trading experience and has been a co- owner of a Dallas based brokerage firm and LiquidTrader Technologies. Currently, Blake does analysis daily for thousands on individual traders, also has appeared as a regular analyst on WizetradeTV, Traders Television and MBT Vision. Blake has also managed 6 figure trading accounts and is a seasoned individual investor in equities and FOREX.
  • atim

    Wonderful insight on the fx market. Thanks again Blake!