Friday, February 27, 2015

The Weekly Volume Report: USD Pushes Higher But Still Waiting on Volume




Talking Points



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Daily Volume Chart: EUR/USD


The Weekly Volume Report: USD Pushes Higher But Still Waiting on Volume


Charts Created using Marketscope – Prepared by Kristian Kerr



  • EUR/USD recorded a new low close for the year this week


  • Declining volume during recent consolidation favors a downside resumption, but turnover needs to pick up on weakness to confirm this thinking


  • A rather stagnant daily OBV line also favors an eventual downside resolution


  • A close above 1.1450 on above average volume will turn attention higher


Daily Volume Chart: USD/JPY


The Weekly Volume Report: USD Pushes Higher But Still Waiting on Volume


Charts Created using Marketscope – Prepared by Kristian Kerr



  • USD/JPY has traded in a very tight consolidation over the past couple of weeks


  • The lack of volume during the push higher at the start of the month raises concerns that the consolidation is not yet finished


  • The lack of momentum in daily OBV is also a concern


  • A close under 118.00 on above average volume would turn us negative on the exchange rate


Daily Volume Chart: AUD/USD


The Weekly Volume Report: USD Pushes Higher But Still Waiting on Volume


Charts Created using Marketscope – Prepared by Kristian Kerr



  • AUD/USD traded at its highest level in almost a month this week


  • Volume has been in general decline since the start of year, but the lack of turnover on the recent rise suggests move is likely only corrective


  • A modest move off the recent lows in daily OBV also favors a correction scenario


  • A daily close above .8000 on above average volume would turn us positive on the Aussie


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Written by Kristian Kerr, Senior Currency Strategist for DailyFX.com



To contact Kristian, e-mail kkerr@fxcm.com. Follow me on Twitter @KKerrFX





The Weekly Volume Report: USD Pushes Higher But Still Waiting on Volume

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