Hello and welcome to HiwayFX market news for February 1st, 2016. The EUR/USD pair finished the first month of the year near the mark of 1.080. The euro struggled for traction after the Bank of Japan adopted negative interest rates heightening expectations that the European Central bank will ease policy too. However, the upside remains capped as markets remain cautious ahead of plenty of risk events from both continents, in the week ahead, with the most influential payrolls data from the US eagerly awaited. On Monday, during the European trading session, we were observing a technical rebound. The EUR/USD pair rose to the level of 1.085 by adding 0.2%. The key events for the EUR/USD pair for today are U.S. ISM Manufacturing PMI at 15:00 GMT and speech of European Central Bank President Mario Draghi at 16:00 GMT. The resistance levels for the euro are 1.0891 and 1.0945. The support levels for the EUR/USD are following 1.0848 and 1.0752. The AUD/USD pair fell on Monday with a mixed manufacturing read out of China as well as an unexpected dip in services dimming sentiment. Currently, the AUD/USD pair trades around with level of 0.7060 with 0.25% loss. As Investing.com reports, “In China the semi-official manufacturing PMI for January reached 49.4 missing the 49.6 level seen and remaining in contraction and the Caixin Manufacturing PMI index came in at 48.4, a bit above the expected 48.0. Figures above 50 suggest expansion and those below contraction.” As Bloomberg noted, “the Australian dollar’s plunge to a seven-year low is turning out to be a blessing as China steers its slowing economy away from the heavy industries that helped fuel a mining boom Down Under. It’s more than four years since a record-high Aussie threatened to destroy manufacturing and hamstring the economy. Instead, the currency’s steepest three-year slide since it was floated in 1983 is working its magic — a weaker local dollar has spurred record tourist arrivals and education income. And it’s tempered the drag from iron ore’s plunge to unprecedented lows while making the nation home to the world’s lowest-cost miners. Australia stands out in getting the currency boost it needs at a time when economies the world over are grappling with exchange rates considered undesirable. The Aussie is in line with economic fundamentals, after being 25% or more overvalued in 2013.” Meeting of the Reserve Bank of Australia on Tuesday will focus on traders. The Central Bank will announce its decision regarding interest rate at 03:30 GMT. Analysts expect that the Reserve Bank of Australia will leave the rate of the level of 2%. However, during releasing the data, a high volatility with Australian dollar is expected. The resistance levels for the AUD/USD pair are 0.7153 and 0.7198. The support levels for the Australian dollar are 0.7040 and 0.7028. Oil started a new month of 2016 year from losses. This morning the Crude oil was trading below the mark of $33 by losing over 2%. As Reuters reports , “Oil prices dropped on Monday after China and South Korea posted surprisingly weak economic data while fading prospects for a coordinated production cut by leading crude exporters also dragged on the market. Economic data from China, showing its manufacturing sector contracted at its fastest pace in almost three-and-a-half years in January , added to worries about demand from the world’s top energy consumer at a time when the market is already weighed down by a supply overhang. Numbers coming out of South Korea were also gloomy with the country’s exports down at levels last seen at the height of the global financial crisis in 2009. The resistance levels for US Crude oil are $33.80 and $35.10. The support levels for the Oil are $32.50 and $32.05. Stay up-to-date with all the key financial news around the world by liking us on Facebook, following us on Twitter and Instagram and subscribing to our YouTube channel. For more information please visit our website www.hiwayfx.com. Thank you and have a good trading day.