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[IMAGE] Forums Discuss these points in the Forums: Forexnews Forum T= echnicals Live Charts Analysis available from: Cornelius Luca J.P. Chorek= Technical Research Ltd. Charts & News featuring Standard & Poor's = Interest Rates US: Japan: Eurozone: UK: Switzerland: 1.75% 0.15% 3.= 25% 4.0% 1.25-2.25% [IMAGE] =09 [IMAGE] Japanese Forex Trading Pre= view January 30, 7:00 PM: EUR/$..0.8611 $/JPY..132.87 GBP/$..1.4143 $/CHF.= .1.7089 Japanese Forex Trading Preview by Darko Pavlovic No key data. T= he dollar is trading around 132.80 yen, well above one week lows of 132.35 = due to strength derived from the upbeat US GDP figure rather than weakness = in the Japanese currency. The Japanese currency was supported just before t= he FOMC decision on news that General Motors' Chief Economist Mustafa Mohat= arem had requested the US Treasury tell Japan to stop intervening in curren= cy markets, since the weaker yen is hurting the manufacturing industry and = jobs. Overnight the yen had risen to a 1-week high of 132.35 against the do= llar after a report in the Wall Street Journal stated that General Motors h= ad complained to Treasury Secretary O'Neill about the weak yen because of i= ts negative impact on the firm's bottom line. GM is hoping that President B= ush will discuss the issue when he meets with Prime Minister Koizumi next m= onth, because if the US Treasury does not signal clearly its opposition to = Japan's deliberate efforts to weaken the yen, then GM executives fear that = the the Japanese will continue their FX manipulations. MoF's Mizoguchi who = affirmed Hayami's comment that a weaker currency will not solve Japan's pro= blems also supported the yen. After he sacked Makiko Tanaka as his foreign = minister PM Koizumi is trying to appoint Sadako Ogata to that position. The= changeover came during busy Japan's diplomatic schedule. The foreign minis= ters of Japan and Russia are due to meet on Saturday. Koizumi is hopeful Og= ata will accept the position.The diffusion index of sales for smaller firms= hit -25.9 in January, 2.2 pts better than in December, rising for the firs= t time in six months. Analysts doubtful that improvements in index mean the= deteriorating trend have come to a halt. The BoJ policy board member Nakah= ara reiterated the need for the Central Bank to consider foreign bond buyin= g as a way of injecting liquidity into the financial markets. Nakahara said= the BOJ could possibly buy foreign bonds totaling Y200 billion a month.Ups= ide capped at 133.70, 134.0 and 134.30. Support holds at 132.35, 132.0 and = 131.75. The dollar and US stocks rallied today on a better-than-anticipa= ted positive GDP reading, drawing renewed encouragement as well from the Fe= deral Reserve's decision to leave interest rates unchanged in a highly expe= cted move.US Q4 GDP rose 0.2% q/q from the previous 1.3%, startling market= s which had been expecting a second straight quarterly drop to 1.0% that w= ould have officially designated the US economy as being in a recession. The= Federal Reserve decided today to leave interest rates unchanged at 1.75% b= ut maintained its easing bias. The FOMC acknowledged the presence of signs = that weakness in demand is abating and economic activity is beginning to fi= rm, thereby leading to a more promising outlook for economic recovery. Tomo= rrow's release of Chicago PMI is forecasted to rise to 45.5 in January from= the previous 41.4, mirroring the improvement seen in the ISM (formerly NAP= M) survey. The pickup in the manufacturing sector is attributable to increa= sed spending on durables and other goods, and therefore, US Personal consum= ption is expected to rise to 0.1% in December from the previous 0.7%. Per= sonal income is also assumed to post a gain of 0.3% in December from the pr= evious 0.1%, even though the Employment cost index is projected to hold st= eady at 1.0% in Q4. EUR/USD fell around half-a-cent to a session low of 86= .01 in response to the surprisingly positive US GDP data, pressured also by= comments from the Bundesbank's Meister declaring that additional ECB rate = cuts are pointless if the economy matches the rise in sentiment. He comment= ed that the German economy is now passing its low point and therefore growt= h will pickup in the latter half of the year. The euro was also hurt by the= European Commission's recommendation that Germany and Portugal be warned a= bout their rising budget deficits, which are nearing the official limit of = 3% of GDP. Overnight, the single currency was lifted by French business con= fidence that overshot expectations to rise for the second time to 92 in Jan= uary from the previous 90. Support is viewed at 85.55-- the 71.8% Fibonacci= retracement of the move from 82.25 to 95.95, and 85.0. Resistance is seen = at 86.70, 87.0 and 87.50. =09[IMAGE] Audio Mkt. Analysis Positive GDP, P= ositive Fed Help Dollar Articles & Ideas Fed Moves On, Dollar Moves = Up How Will the Dollar Fare Amid the Data Barrage? Articles & Ideas= Forex Glossary Economic Indicators Forex Guides Link Library [I= MAGE] =09 =09=09[IMAGE][IMAGE] [IMAGE][IMAGE]=09 =09=09 This e-mail is never sent unsolicited. If you wish to unsubscribe f= rom this or any other Forexnews.com newsletters, please click here . Any = opinions expressed by representatives of Forexnews.com or its affiliates as= to the commentary, market information, and future direction of prices of s= pecific currencies reflect the views of the individual analyst, and do not = necessarily represent the views of Forexnews.com or its affiliates in any w= ay. In no event shall Forexnews.com or its affiliates have any liability fo= r any losses incurred in connection with any decision made, action or inact= ion taken by any party in reliance upon the information provided in this ma= terial; or in any delays, inaccuracies, errors in, or omissions of informat= ion. =09
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