Forex Daily Analysis – January 5th 2008
Daily Look

Forex Daily Analysis – January 5th 2008

The fresh and exciting Forex trading week began with a stronger US dollar.

EUR/USD now trades at 1.3894, GBP/USD weakened to 1.4472, USD/CHF is now at 1.0784, and the USD/JPY is little changed, at 91.97.

The escalating war in Gaza still dominates the news – Israeli ground operation is weighing on oil prices – something that affects forex markets as well.

Today, a relatively small amount of data will be release, but there still are various interesting figures: In Switzerland, the  SVME (“Schweizerischer Verband fur Materialwirtschaft und Einkauf” )  PMI  will indicate where the Swiss economy is going to. The figure is expected to be at 34.7 – which is very low.

Later on, a first economic figure from Europe will be released for this week: the  Sentix Investor Confidence is expected to drop by 44 points –  bad data as well.

Britain’s dire economy will be seen in the  Construction PMI.  The Chartered Institute of Purchasing and Supply will release this important indicator about the state of building in the UK.

Construction data will also be released in the US – the monthly  Construction Spending – expected to drop by by 1.3%.

The more interesting figure from today is the  Total Vehicle Sales – since the Detroit’s auto industry almost went broke last month, this figure will be closely watched by Forex traders.

And at the end of the day, FOMC’s Janet Yellen will continue talking about the state of the American economy.

Have a successful trading day!

Yohay Elam

Yohay Elam

Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.