Canadian Dollar Steady after CPI, Markets Consolidate Canadian dollar remains bounded in tight range after release of June consumer inflation data. CPI accelerated back to 1.2% yoy but missed expectation of 1.3% yoy. Core CPI also accelerated back to 1.3% yoy, meeting consensus. Both figures were well below BoC's 2% target. Stephen Poloz had his first BoC rate announcement earlier this week and noted in the statement that current monetary stance should remain appropriate "as long as there is significant slack in the Canadian economy, the inflation outlook remains muted, and imbalances in the household sector continue to evolve constructively". With the current inflation outlook, it's believed that BoC is still far from kicking start the normalization of monetary policies. Technically, note that USD/CAD is still maintaining a higher high, higher low pattern since last August. And it's drawing support from 55 days EMA for the moment. There is no change in the bullish outlook yet and another high above 1.0608 is anticipated after completing recent consolidations. Full Report Here...
Featured Technical Report
USD/JPY Mid-Day Outlook Daily Pivots: (S1) 99.69; (P) 100.17; (R1)100.89; More.. Intraday bias in USD/JPY remains on the upside and recovery from 98.18 should extend higher. Break of 101.53 will resume the whole rebound from 93.78. But still, such rebound is viewed as the second leg of the consolidation from 103.73. Thus, we'd be cautious on strong resistance below 103.73 to bring reversal. Meanwhile, below 98.89 will turn bias back to the downside for 98.18 and below. Read more... EURUSD Technical Outlook USDJPY Technical Outlook GBPUSD Technical Outlook USDCHF Technical Outlook USDCAD Technical Outlook AUDUSD Technical Outlook EURJPY Technical Outlook EURGBP Technical Outlook EURCHF Technical Outlook GBPJPY Technical Outlook

Economic Indicators Update
GMT Ccy Events Actual Consensus Previous Revised 04:30 JPY All Industry Activity Index M/M May 1.10% 1.20% 0.40% 0.10% 06:00 EUR German PPI M/M Jun 0.00% -0.10% -0.30% 06:00 EUR German PPI Y/Y Jun 0.60% 0.60% 0.20% 08:30 GBP Public Sector Net Borrowing (GBP) Jun 10.2B 9.3B 10.5B 12.8B 12:30 CAD CPI M/M Jun 0.00% 0.10% 0.20% 12:30 CAD CPI Y/Y Jun 1.20% 1.30% 0.70% 12:30 CAD BoC CPI Core M/M Jun -0.20% -0.30% 0.20% 12:30 CAD BoC CPI Core Y/Y Jun 1.30% 1.30% 1.10%
Orders and Options Watch
US Session: Orders and Options Watch EUR: The single currency remained confined within narrow range after running into resistance at 1.3151, indicated sell orders from Asian CBs and funds are still noted at 1.3150 as well as 1.3170-80, mixture of offers and stops is located at 1.3200-10, more sell orders are tipped at 1.3225 and 1.3250-60. On the downside, bids at 1.3100-10 were filled but buy orders in good size are still seen at 1.3065-70, more buy orders are expected at 1.3050, followed by buying interest around 1.3020 and further out at 1.2990-00, mixture of bids and stops is located at 1.2950. Read more...
Forex Trade Ideas
Trade Idea Update: GBP/USD - Target met and stand aside Although intra-day anticipated resumption of recent upmove to 1.5283 (our long position entered at 1.5175 met target at 1.5280 with 105 points profit) has justified our bullishness and recent rise from1.4814 low may extend one more upmvoe, loss of near term upward momentum should prevent sharp move beyond previous resistance at 1.5305 and reckon 1.5340-50 would hold, risk from there is seen for a retreat later. Read more... Trade Idea: USD/CAD - Hold short entered at 1.0410 Despite rebounding from 1.0355 earlier this week, as the greenback has retreated after faltering below this week's high of 1.0445, retaining our bearishness for the decline from1.0609 top to resume after consolidation, below 1.0355 would bring another test of last week's low of 1.0326, break there would extend the decline from 1.0609 top for correction of recent upmove to 1.0290-00 but reckon previous minor resistance at 1.0239 would limit downside and price should hold above 1.0200 Read more... Candlesticks Intraday Trade Ideas Update Schedule (GMT): 1st Update: 0630 - 0700; 2nd Update: 0930 - 1000; 3rd Update: 1230 - 1300; 4th Update: 1500 - 1530 Pairs Covered: EUR/USD, USD/JPY, GBP/USD, USD/CHF Elliott Wave Daily Trade Ideas Update Schedule (GMT): AUD/USD, EUR/JPY: 0800 - 0830; EUR/GBP, USD/CAD: 1430 - 1500
Suggested Readings
Fundamental Highlights Canada's Consumer Price Inflation Rate Eose to 1.2% in June With Little Noise-No EUR Movement GBP Rallies On Data, JPY Broadens Weakness Technical Highlights AUD/USD - Price Bottom Attempt China Moves Help NZDUSD Clear 0.7950 Resistance GBPUSD - Pressure Builds On The 1.5304 Level