Forex-Metal Weekly Newsletter

In this issue:

1. Weekly market review from Forex-Metal.

2. Weekly technical analysis.

3. Trade forex from iPhone or iPad: new apps are available.

4. Get a free ATM card

5. Representatives Wanted!

1. Weekly review for 17 – 21 01, 2011

Previous week saw various factors, which rendered pressure on the greenback. Only on Monday growing concern over the Euro-Zone crises spreading pressured the euro. Therefore, the euro lost its previously reached maximums. Market participants did not expect any support for the euro from the results of the European Finance Ministers in Brussels. Germany was against increasing of the size of the fund assistance to the EU crises victims. As a result, the EUR/USD pair dropped to $1.3240. US financial markets were closed on Monday due to the celebration of the Martin Luther King Day.

The released European data happened to be positive on Tuesday. The Euro-zone ZEW survey (economic sentiment) hit the 25.4 high, when the forecast was at the 16.6 level. And after the minimums of $1,3260, the EUR/USD pair grew to $1.3428 maximum. By the end of the day the EUR/USD managed to hit a new maximum of $1.3465. Sterling showed maximums due to the publication of the positive UK data on Tuesday. The UK data turned out to be even stronger, than forecasted. The consumer price index showed the 3.7% against its expected level of 3.4%. The retail price index turned out to be at the forecasted level of 228.4. In addition, the Nationwide consumer confidence grew to 53 against the expected level of 44. As a result, the GBP/USD pair reached maximums at the level of $1.6050. Expectations for the increase of the principal rate by the Bank of England reinforced.

According to the expectations, the Bank of Canada left the interest rate unchanged at the level of 1.00% on Tuesday. Canadian dollar dropped against the US dollar.

On Wednesday the EUR/USD managed to reach the $1.3537 maximums. According to the forecasts, the US housing starts dropped in December to 529K against the expected 550K, which was a sign of the economical growth rate slow down. Employment data was forecasted to be negative as well. In addition, the greenback was pressured by the Chinese Yuan.

The sterling continued to trade around the reached maximums against the greenback on Wednesday morning. Weakening of the US dollar supported the pound. In addition, the UK jobless claims dropped to 4.1K in December (this decline in jobless claims marked the lowest level in 21 months), the Claimant count rate turned out to be at the forecasted level of 4.5%. The GBP/USD pair grew and hit daily maximums at the $1.6036 mark. Nevertheless, the sterling was lower against other major currencies.

On Thursday the euro rate grew against the yen and the pound after the release of the Euro-zone data. The German annualized producer prices increased for 0.7% when the forecasted level was at the 0.5%. Meanwhile the EUR/USD managed to hit the $1.35 range, but only temporarily.

At the same time the greenback received substantial support, as the released Chinese data pressured the commodity currencies. Concerns over the possibility that China would undertake additional measures aimed to cool down the economic growth, reduced the demand for the raw materials. High-risk assets were pressured. Chinese Gross Domestic Product grew for 9.8% against the expected growth for 9.4%. Consumer price index grew for 4.6% and the Industrial production increased for 15.7%.

The GBP/USD pair managed to grow and reach maximums of $1.6010, but later on the sterling decreased to $1.5850. At the same time the yen rate grew as demand for the save-haven currencies increased. The USD/JPY pair traded in the range of Y82.00 – Y82.30.

By the end of the day on Thursday the EUR/USD pair dropped to as low as $1.34. The US dollar showed additional growth after the publication of the US fundamentals, and consolidated against its competitors. Initial jobless claims dropped to 404K against the forecasted 420K. Existing home sales grew to 5.28M against the expected 4.87M. The leading indicators increased for 1.0%.

After the positive day for greenback on Thursday, Friday demonstrated considerable weakness for the US dollar. Strong Euro-zone fundamentals rendered support to the euro and to the sterling both. The released German IFO business climate indicator turned out to be above expectations. Demand for the high-risk assets increased, and the EUR/USD pair reached the $1.36 maximums.

Happy trading!

2. Weekly technical analysis for 24 – 28. 01, 2011



The pair has reached Moving Averages (100 and 200) at 1.35270. If the pair stays below this level the pair will decline to 1.33427. If the pair stays above 1.35270 the pair will rise to 1.41130.

Resistance: 1.37441, 1.41130, 1.44835

Support: 1.33427, 1.2800, 1.25667


The pair has reached channel line at 1.60874. If the pair rises above this level the pair will continue rising aiming to reach Fibonacci retracement 38.2% at 1.64274. If the pair stays below1.60874 the pair will decline to 1.56780.

Resistance: 1.59962, 1.64274, 1.68504

Support: 1.52523, 1.48532, 1.43344


If the pair stays below 0.96526 the pair will decline to 0.93770. If the pair breaks 0.96526 the pair will rise to the channel line at 1.00233.

Resistance: 0.96525, 0.99031, 1.01369

Support: 0.93770, 0.91074, 0.88022


The pair is closed in the triangle. Resistance 83.330, support 81.010.

Resistance: 83.330, 86.836, 90.909

Support: 80.244, 76.535, 73.126


The pair needs to break 0.97889 to be able to work out double top figure. If this level is broken the pair may decline to 0.94048.

Resistance: 1.00031, 1.01873, 1.03847

Support: 0.97889, 0.94048, 0.89581


You can now trade forex and other instruments from your iPhone or iPad.

Simply look up the new app ( Forex Metal) at App Store on your device and start to trade.

You can login to your trading terminal via iPhone/iPad as usual, using your login and password. We hope you will enjoy this new convenient service.

Soon to come: a new application for Google Android.


How would you like to open an account and get an ATM debit card absolutely free?

If you open the account with us you can be eligible for this offer. The full details of the promotion are available here

Representatives Wanted!

We are expanding our operations and would like to open a representative office in your country, so we can be closer to our customers. If you feel that you are up to it: to have an interesting business and to have a steady income, then talk to us. You do not need to have any special knowledge – full training and support will be provided by us. For more details please contact our Business Development team at or talk to our operators via live chat and they will put you to the right person.