The Forex Market Insight Report shows charts on different major currencies and commodities, with brief commentaries on how new data releases and news cause movements in the market.

Headline:

  • Failed German bund auction rocks the Euro
  • AUD hit by run to safety. Makes fresh 7 week low after poor China figures
  • Stocks plunge on global growth fears. Dow closes down 236pts or 2%
  • Gold and commodities lower. USD the only true safe haven
  • US Thanks Giving Holiday begins
  • RBA Gov Stevens to speak at 8.25pm

AUD/USD
The AUDUSD continued the slide lower overnight with 0.9560 support now firmly exposed after an overnight warning from ratings agency Fitch that France risked losing its Triple A credit rating.

GOLD
Gold dropped in tandem with declines in the equity markets and the Euro, as weak Chinese factory data and contracting Euro zone demand for finished goods prompted selling.

EUR/USD
The Euro again plunged overnight after a botched sale of German bonds with some calling it a sign the Euro zones debt woes are coming home to roost. Many are calling the true risks to Germans have yet to be spelled out by Angela Merkel’s government

GBP/USD
As with all risk currencies the decline in the GBPUSD over the past 3 weeks has been persistent and relentless. Further withdrawals overnight to important support at 1.5490 with the breach of this level to yield 1.5410 then 1.5270

USD/JPY
USDJPY was trapped in a fairly tight range as has been the norm but would still prefer to trade from the short side of this pair as cross selling pressures rear their head.

SILVER
Silver fell 3.0% overnight to USD 31.71 an ounce alongside the entire commodities complex on the USD index gains and global economic worries

USD/CHF
Again USDCHF continued its march higher overnight with this pair looking most likely to break higher thru resistance at 0.9240 and obtaining higher levels still.

GBP/JPY
GBPJPY like most pairs looks heavy whilst the weight of the Euro zone debt crisis seems to be a millstone around its neck with 119.60 support the next line in the sand.

AUD/JPY
The AUDJPY continues its push lower with next support level at 74.40 in the scope as we look for some good news out of Europe in vain.

OIL
Oil declined as demand for German bonds missed expectations and US durable-goods orders fell, reducing optimism that economic growth will improve.

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