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Stand Aside on Monday

No reason to be trading on Monday with the US markets shut down for the holiday. Instead, we will wait for a fuller session of trade on Tuesday that is sure to produce more reliable signals. DailyFX provides forex news on the economic reports and political events that influence the currency market. Learn currency trading with a free practice account and charts from FXCM.

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Forex Strategy Outlook: Breakout Strategies Favored on Indecisive Currency Price Action

A drop in forex market volatility expectations suggests that currency moves may slow in the week ahead, limiting optimism on volatility-friendly Breakout and Momentum strategies. Yet a continued slide in the safe-haven US Dollar shows few signs of slowing amidst a major improvement in financial market risk sentiment.

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USD/JPY Classical 09.07

USD/JPY: While the market trades below the 20-Day SMAs on a close basis, the downtrend remains intact and deeper setbacks below 83.60 can not be ruled out. A close above the 20-Day SMA will be required at a minimum to offer some form of relief to downside pressures. The market has not closed above the 20-Day SMA since mid-June when the pair was trading over 90.00. A break below 83.60 will open a ...

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EUR/CHF Classical 09.07

EUR/CHF: Fresh record lows below 1.2900 have once again left daily studies oversold and in need of some major corrective relief. Any additional setbacks are seen limited, and the risks from here are for a more significant jump back towards previous support now turned resistance by 1.3340. We will be looking for opportunities to buy into dips. Written by Joel Kruger, Technical Currency Strategist ...

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Factory Orders Contract Sharply in July

German factory orders in July fell by 2.2% missing expectations of a 0.5% expansion according to the Economy Ministry in Berlin. The drop was most unexpected and comes amid weakening demand from the euro-region for German produced goods, suggesting that the recovery in Germany may slow in the third quarter, after its blistering pace in Q2. Axel Weber, Germanys central bank president said ...

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Trading Ranges Expected to be Rather Tight with US Markets on Holiday

All is quiet in the markets thus far on Monday with currencies locked in some tight consolidation into the European open.

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EURUSD: Remain Short as Risk Aversion Returns

I sold EURUSD at 1.2660 . A shallow recovery has taken rates higher for re-test of 1.29 but I am expecting the re-emergence of risk aversion in the autumn months to boost safety-linked demand for USD and will remain short. My initial target remains at 1.2130, with a stop-loss to be activated on a daily close above 1.2925. DailyFX provides forex news on the economic reports and political events ...

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