Forex Investment and Currency Trading

USDJPY has breached trend line resistance levels, but this move has been helped by a sharp decline in
EURUSD. The lower EURUSD has not only been driven by EUR specific factors such as Portugal’s downgrade by Fitch, but also by USD supportive effects coming on the back of China reporting its first trade deficit since 2004 (reported yesterday). China has focused its economic rebound on domestic demand which has been particularly supported by infrastructure investment. The shift away from export driven towards domestic demand driven growth suggests China’s currency reserve growth is running at a slower pace. The slower currency reserve [...]

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