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FX Levels for Today

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FX Levels for Today August 28

Thu, Aug 28 2008, 04:39 GMT
by Abdul Khan

Top Trader Thinking


Overview

The USD came off sharply overnight, and remains under pressure against the EUR today, following remarks by an ECB official speculating on interest rate rises to quell inflation.

I think any reaction to these comments will be limited to just today perhaps, and the USD consolidation will continue on Friday and next week. As i've said previously, the EUR will struggle to break back above 1.5000 without some sort of rate hike, or strong economic data. Before that, the 1.4900 level will probably become the top of the trading range for the next few months.

Gold and silver firmed on the back of USD weakness, and firmer crude. I'd look for this positive mood to continue for today with gold looking to test $837-840, and silver heading for $14.

Data for today

US: GDP

US: Core PCE

US: Weekly Jobless

For today:

EUR: Buy around 1.4760

Gold: Buy dips to 832


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