Aud AIG manufacturing index came out better at 51.0

Aud AIG manufacturing index came out better at 51.0 from previous at 48.5.

Aud MI Inflation Gauge m/m is coming at 6:30pm previous 0.3%

Eur/Usd continues to makes new lows for the year.

Eur/Usd made a new at 1.3852 from Friday’s low of 1.3863. Eur/Usd started to free fall after the better then expected GDP number out of U.S. from a high of 1.3970 to a low 1.3863. Which also drag down the Eur/Jpy to a new low of 125.10 with Usd/Jpy trading around 90.30 area. Over the weekend Usd/Jpy made a new low of 89.87 which again push the Eur/Jpy to a new low for the year traded at 124.59. Right now Eur/Jpy is trading at 125.00, Eur/Usd trading at 1.3860 and Usd/Jpy trading at 90.10.

Here you see the Eur/Usd make the new low this Sunday afternoon.

Usd/Jpy had a small gap open and was quickly filled after the market opened, from Friday’s close of 90.24 to 89.97.

Eur/Jpy had the same reaction as the Usd/Jpy with a gap open at 124.59 and quickly filled that gap back to 125.11 on Friday’s close.

Now the question is this an another major signal where Eur/Usd has reversed its trend and going to start trying to retest the lows.

Will there be more profit taking on the Eur/Usd

After the Eur/Usd made a huge 550 pips lower from a high of 1.4580 to 1.4030 we might see people start taking profits up to the 23.6 retracement level at 1.4160 to 38.2 retracement at 1.4240.

Eur/Usd found some support around 1.4030 area after testing it twice with a pull back of 1.4140, now trading at 1.4090.

Jpy GDP Final Q/Q came out at 0.3% worse then expected.

Jpy GDP Final Q/Q came out at 0.3% , was expected at 0.7% and prior was 4.8%

GDP Annualized came out at 1.3%, prior 4.8%, expected 2.8%

Final GDP Price Index y/y came out at -0.5%, prior was 0.2% expected at 0.2%

Usd/Jpy had very little reaction to the number still trading at 88.45

Usd/Jpy finds support at 12-14 lows and 1-18 lows

Usd/Jpy finds support at end of last year’s and the beginning of the new year lows around 87.00-87.30 levels.

Eur/Usd testing the 1.5000 level again for the sixth time.

Looking at this hourly chart Eur/Usd is testing the 1.5000 level for the sixth time. We will have to see later tonight if the Eur/Usd push through on the Euro Shift.

Eur/Usd being supported by a 50 daily moving adverage.

Eur/Usd is being supported by a 50 day moving average seen here in this chart.

Well Eur/Usd test the top of this channel and then break through?

After today’s comments from Aud RBA Gov Stevens making a strong statements about rasing rates the Aud/Usd started to continue its rally against the Usd which provided more momentum for the Eur/Usd to make new highs. Eur/Usd right now is getting close to the top of this channel see here on this chart which might provide some resistance on this long Eur/Usd run.