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Focal points for this week – data points and technical themes

FXstreet.com (Barcelona) - Technicians and traders will be watching the data flow carefully, but will be watching the reactions to the data even more.

Data will be flowing and traders and technicians reacting

• Monday 8/12: Japanese GDP (already released – came in below expectations; Yen off on the news); Japanese Industrial Production; Bank og Japan Policy Meeting Minutes
• Tuesday 8/13: German CPI; British CPI; EuroZone Industrial Production; German Current Situation / Economic Sentiment; EuroZone Economic Sentiment; US Retail Sales; New Zealand Retail Sales
• Wednesday 8/14 – Aussie Consumer Confidence; German GDP; EuroZone CPI; EuroZone GDP; Bank of England Minutes; British Claimant Count Change; US Producer Price Index; New Zealand PMI; Foreign Investment in Japanese Securities
• Thursday 8/15 – Aussie Inflation Expectations; British Retail Sales; US CPI; US Weekly Jobless Claims; US TIC Flows; US Industrial Production / Capacity Utilization; US Philadelphia Fed Manufacturing Survey
• Friday 8/16 – EuroZone CPI; US Building Permits & Housing Starts; US University of Michigan Consumer Sentiment
Click here for the full calendar complete with expectations and historical data.

Technical focal points coming into this week

• Will a bullish reversal in the US Dollar to start / continue?
• Will there be a corresponding bearish reversal in the euro?
• Will the bounce / rally in the Yen continue or pause? Even a pause would not necessarily take away the likelihood of an eventual rise in the Yen up to 1.07.
• How far will the bounce in the Aussie Dollar go?
• Will the British pound continue to work its way up to 1.5783 resistance?

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Flash: AUD/USD at 0.90 the new normal; RBA rate cuts cycle over - HSBC

The RBA cut its cash rate by 25bp to 2.50%, as HSBC Economists had expected. According to the Bank, "Markets are currently pricing in a further cut this year, and while this is possible, we are of the view that this cut is the last for this easing phase, as the lower AUD is doing a lot of the work."
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