Caught within tight range trading, the USD has not yet made a decisive move. No wonder, with the world central banks all pursuing their own rescue plans, targeting monetary policy to near zero interest rate, and trying "quantitative easing," i.e. money printing by buying up long-term bonds. Whatever the fundamental data will bring, the chart technicals are enough to target the support / resistance zones and the overbought and oversold level for now.
Note that the ongoing G-8 summit could still trigger some market moves by the the respective leaders’ interviews given to the press. The BoE’s rate decision published today at 13:00 CET will most probably not have much effect - it is expected to be unchanged. Also, at 14:30 CET, the Initial Jobless Claims out of the U.S. is due. We expect a slight downward move for the USD against the majors, as explained in detail below.
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
The pair is on a recovery path in this European morning, currently trading at 1.3960, near a resistance zone. We expect this resistance zone to be broken later today, after a setback to 1.3920, soon to set in. Later we see the up move to a maximum at 1.4020.
GBP / USD
Cable is gaining territory in early European trading, from lows around 1.6000 to right now 1.6196. We expect some setbacks from these levels, but not below 1.6100. From there further upmoves are in the cards, to levels around 1.6240.
USD / CHF
The dollar fell back against the Swiss franc in the European morning trading hours, still range-bound between 1.0930 and 1.0820, now at the lower end and currently trading at 1.0825. After some recovery moves, we expect lower prices in today’s market, breaking the 1.0820 support level eventually, leading to a low of 1.0740.
USD / JPY
Constantly gaining ground against the yen in Asian and early European trading, the dollar is now priced at 93.20 from lows of around 91.80. We expect this trend to continue today, up to a maximum of 94.20.
Note that the ongoing G-8 summit could still trigger some market moves by the the respective leaders’ interviews given to the press. The BoE’s rate decision published today at 13:00 CET will most probably not have much effect - it is expected to be unchanged. Also, at 14:30 CET, the Initial Jobless Claims out of the U.S. is due. We expect a slight downward move for the USD against the majors, as explained in detail below.
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
The pair is on a recovery path in this European morning, currently trading at 1.3960, near a resistance zone. We expect this resistance zone to be broken later today, after a setback to 1.3920, soon to set in. Later we see the up move to a maximum at 1.4020.
GBP / USD
Cable is gaining territory in early European trading, from lows around 1.6000 to right now 1.6196. We expect some setbacks from these levels, but not below 1.6100. From there further upmoves are in the cards, to levels around 1.6240.
USD / CHF
The dollar fell back against the Swiss franc in the European morning trading hours, still range-bound between 1.0930 and 1.0820, now at the lower end and currently trading at 1.0825. After some recovery moves, we expect lower prices in today’s market, breaking the 1.0820 support level eventually, leading to a low of 1.0740.
USD / JPY
Constantly gaining ground against the yen in Asian and early European trading, the dollar is now priced at 93.20 from lows of around 91.80. We expect this trend to continue today, up to a maximum of 94.20.
