Today's forecasts for EUR/USD, GBP/USD, FTSE 100, Dow
|EUR/USD
Market sentiment is still cautious, and the Euro is still hovering just below the 4H 50-SMA despite a beat earlier this morning in the Germany import price index at +1.4% vs +1.0% expected, with a sustained move below key support at 1.2170 to trigger an acceleration to the downside with the 4H 200-SMA to act as the next defense line.
Support: 1.2170 / 1.2070.
Resistance: 1.2240 / 1.2280.
GBP/USD
BoE’s Vlieghe mentioned in a statement that a rise in interest rates may happen early next year, and the British Pound rallied back to the 1.4210 resistance level following his hawkish comments although the GBPUSD pair failed to move past this massive barrier as momentum faded following a surge in US bond yields that extended some support to the US dollar. The RSI indicator looks bearish and therefore a move below the 1.4170 support could trigger further declines.
Support: 1.4170 / 1.4110.
Resistance: 1.4210 / 1.4240.
FTSE 100
A sharp pop in commodity prices helped push FTSE mining stocks higher, and the FTSE100 index slightly above key resistance at 7030, although this morning momentum seems to be fading ahead of the unveiling of Joe Biden’s huge infrastructure projects. A slide back below 7030 today would trigger further declines with the 4H 200-SMA as next support level.
Support: 7030 / 6935.
Resistance: 7065 / 7160.
Dow Jones
Strong economic data and Janet Yellen saying that although Biden’s infrastructure plan will push the US national debt higher, that would not be beyond the country's means, pushed stocks higher with Dow Jones futures rising beyond the 34440-resistance level, now turned support, with 34900 as next level of resistance.
Support: 34000 / 33800.
Resistance: 34400 / 34900.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.