As we move into February, we have analyzed forex returns in the G10 space to try and gauge any shifts in sentiment that could help your trading at the start of the new trading month. The chart below shows you G10 returns vs. the U.S. Dollar since the start of January.
The Singapore dollar is the latest currency to register a sharp unexpected drop following action from the Monetary Authority of Singapore to ease monetary policy, which is fast leaving the United States and Switzerland as the only two countries not trying to devalue their currencies.
The strong bearish move in the euro initiated in mid-2014 has placed the currency back to the 61.8% Fibonacci move that began in 2000 and the lows of $1.10 are considered an important short- and medium-term support.
When the European Central Bank expanded its asset purchase program to include those issued by sovereign governments around the region last week, the euro currency was clinging on to $1.1400 for dear life.