n the US, The Institute for Supply Management (ISM) Manufacturing Purchasing Managers’ Index (PMI); Monthly Survey to rate the business conditions such as employment, new orders, supplier deliveries, inventories and so on, expansion is predicted with a rise of 0.9 points up to 53.3 points. And a similar rise is expected in the ISM Manufacturing Prices up to 63.3 points.

More in the US, Sandra Pianalto, Federal Reserve Bank of Cleveland President is about to speak in Marietta.

Finally in the US, Construction Spending is due to rise up from-0.1% on March up to 0.8% this month.

In Canada, Bank of Canada (BOC) Governor Mark Carney is about to speak in Waterloo.

For more on USD/CAD, read the Canadian dollar forecast.

In Europe, Unemployment Rate, measures by percentage unemployed which are actively seeking for jobs from March, 10.7% is predicted similar to the last time.

More in Europe, Final Manufacturing Purchasing Managers’ Index (PMI); 47.7 points are predicted similar to March Survey.

For more on the Euro, read the Euro to dollar forecast.                                       

In Great Britain, Manufacturing Purchasing Managers’ Index (PMI), Survey to rate the business conditions like production, new orders, supplier deliveries, and so on, industry expansion is likely with 50.5 points, 0.7 points less from March.

More in Great Britain, Halifax House Price Index (HPI), value the price change of homes financed by Halifax Bank of Scotland (HBOS), rise of 0.2% is forecasted to -0.3% now.…More at Forex Daily Outlook April 2 2012

FX Trading For Dummies – That Covers Just About All Of Us!

It is frustrating to digest the same FX story day after day while other asset classes see movement. Of late, during North America, watching some of the price action is like watching paint dry. It seems that more chatter is putting further emphasis on month and quarter-end requirements and what we are supposed to expect. The meeting of both tend to muddy the FX market and destroy many traders playbook and this one is no different. The recent performance of other asset classes is expected to see pension funds have a significant rebalancing requirement, especially given the size of the equity market rally and fixed income sell off this quarter. Logic and history would also mean significant month-end forex flow. As expected, the support for treasury’s and selling of equities is only “muddying the waters in determining whether we have moved into a new FX paradigm whereby risk sentiment is on the up.”…More at EUR to Buckle on Month End?

More Reading

• AUD/JPY Daily Chart Shows Head-and-Shoulders Pattern
• Free $/£/€ 25 Offer at William Hill Day Trader
• Forex Weekly Outlook April 2-6

Successful FX Traders…

Forex traders can spot a really interesting head-and-shoulders chart pattern on the daily AUD/JPY chart today. There are several good reasons to pay attention to this particular formation. Head-and-shoulders is a strong trend reversal signal and the current pattern is topping a rather strong upward wave. The pattern is also 6 weeks wide, which means that it’s a fully formed medium-term signal. Thirdly, the right shoulder’s height is less than the left shoulder’s height, which stresses the bearishness of the whole pattern. Lastly, the right shoulder spans over 6 days, while the left shoulder spans over 13 days — this means that it took bears half as much time to drop the prices as it took bulls to raise them.

The short yellow lines mark the head and two shoulders of the pattern. The long horizontal yellow line is the pattern’s neckline. Despite the obvious strength of this pending signal, some caution is required for entering a trade. The cyan line marks the 10% buffer zone for entering a short trade, while the green line is my usual profit target, which is directly derived from the pattern’s height. I will set my stop-loss at the high of a breakout daily bar. Don’t forget that you can click the image for a larger screenshot of the current AUD/JPY chart:

…More at AUD/JPY Daily Chart Shows Head-and-Shoulders Pattern