The 2-day-old down correction move of the USD came to an end yesterday after testing important long-term support zones, especially against the euro. That is the fourth failed attack on these lines, representing the lower end of the USD’s 4-week-old trading range. We now expect the upside of this range to be tested, with a slow upmove for the USD over the next days. At the fundamental front, there is no reason why the euro should climb against the USD. True, the interest rate differential still is in favor of the euro, but that will soon evaporate, given the ECB’s published stance to further lower the rates step by step. Expectations in the markets call for a substantial cut soon. Now with the financial bad news in the U.S. hopefully coming to an end, there are reasonable sorrows that more is to come in Europe’s financial industry.
With the U.S. in the long Thanksgiving Day weekend, there is not much expectation for important moves in the major pairs. See our detailed outlook below for today, which includes lower volatility, and is based purely on market and technical factors.
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
Trading as low as 1.2820 in Asian trading, the pair is now on a recovery move and seems to again be attacking the important 1.3050 level. Currently priced at 1.2940, we see this recovery ending soon today at resistance at 1.2950, and expect another selling momentum to develop. The recent lows around 1.2810 represent the support for today.
GBP / USD
Cable is trying hard to attack the resistance at 1.5500 in European morning trading, having been in an upmove since late Asian hours, and is currently trading at 1.5460. We see resistance at 1.5500 not being broken today, where we expect a turn to lower levels again, but not below 1.5350.
USD / CHF
The dollar traded back further against the Swiss franc in early European trading and is currently priced at 1.1970. We expect the selling tone to fade out soon today, making enough room for an upside move, but not above the 1.2050 resistance level.
USD / JPY
Against the maverick yen, the dollar gained some strength in European morning trading and is now at 95.30. There is low volatility in this pair wherein we see the current bid tone waning in today’s trading, having no further outlook beyond that.
With the U.S. in the long Thanksgiving Day weekend, there is not much expectation for important moves in the major pairs. See our detailed outlook below for today, which includes lower volatility, and is based purely on market and technical factors.
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
Trading as low as 1.2820 in Asian trading, the pair is now on a recovery move and seems to again be attacking the important 1.3050 level. Currently priced at 1.2940, we see this recovery ending soon today at resistance at 1.2950, and expect another selling momentum to develop. The recent lows around 1.2810 represent the support for today.
GBP / USD
Cable is trying hard to attack the resistance at 1.5500 in European morning trading, having been in an upmove since late Asian hours, and is currently trading at 1.5460. We see resistance at 1.5500 not being broken today, where we expect a turn to lower levels again, but not below 1.5350.
USD / CHF
The dollar traded back further against the Swiss franc in early European trading and is currently priced at 1.1970. We expect the selling tone to fade out soon today, making enough room for an upside move, but not above the 1.2050 resistance level.
USD / JPY
Against the maverick yen, the dollar gained some strength in European morning trading and is now at 95.30. There is low volatility in this pair wherein we see the current bid tone waning in today’s trading, having no further outlook beyond that.
