Forex Winners and Losers for October 1, 2014
10/02/2014 9:00 am EST
Greg Michalowski of ForexLive.com uses charts to illustrate how the major currency pairs and crosses are trading off their extremes and he examines the current trading range versus the average trading range over the last 22 days.
We are now in the final quarter of the year. The race to the end of year is on. The start of the new quarter is off to a slow start with the trading ranges less than the 22-day averages.
The major currency pairs and crosses are currently trading off their extremes (toward the middle of their low to high trading ranges). The top chart in the infograph below shows the change for each pair versus the close (the zero line) and gives a visual of the range for the day in relation to the close. The bottom chart shows the trading range (bar) versus the average trading range over the last 22 trading days (red line). Of note is the fact that the ranges for the day are less than the 22-day average.
The strongest currency Wednesday is the USD. The market is preparing for the Employment report on Friday and the end of QE at the next Fed meeting. The dollar is benefiting from increased expectation that the US economy is performing relatively better than the rest of the major nations.
The weakest currency Wednesday is the AUD. The Australian dollar has been hurt by weaker than expected Retail Sales.
By Greg Michalowski of ForexLive.com