Trading plan for EUR/USD and GBP/USD on October 26
October 26, 2023 8:21 am
Significant price movements occurred for three consecutive days without any reason. Dollar surged even before the preliminary assessments of business activity indices came out, and today, it continued to strengthen despite the empty macroeconomic calendar.
Perhaps, everything occurred due to the anticipation of the ECB meeting. This will be confirmed if after the bank leaves interest rates unchanged and Christine Lagarde announces a pause for an indefinite period, the market will stand still. On the other hand, if dollar continues to rise, then the market simply underwent control of speculators for the past three days. In this case, the scale of growth will be comparable to that of Tuesday’s.
EUR/USD accelerated its decline after holding below 1.0600. This indicates an increase in the volume of short positions, and in the case of further decline, the pair will fall further to 1.0500.
GBP/USD showed a similar picture, as the downward movement brought the price closer to the upper range of the psychological level of 1.2000/1.2050. Failing to stay below it may ultimately lead to a reduction in the volume of short positions and, as a result, a price rebound.
The material has been provided by InstaForex Company – www.instaforex.com
Significant price movements occurred for three consecutive days without any reason. Dollar surged even before the preliminary assessments of business activity indices came out, and today, it continued to strengthen despite the empty macroeconomic calendar.
Perhaps, everything occurred due to the anticipation of the ECB meeting. This will be confirmed if after the bank leaves interest rates unchanged and Christine Lagarde announces a pause for an indefinite period, the market will stand still. On the other hand, if dollar continues to rise, then the market simply underwent control of speculators for the past three days. In this case, the scale of growth will be comparable to that of Tuesday’s.
EUR/USD accelerated its decline after holding below 1.0600. This indicates an increase in the volume of short positions, and in the case of further decline, the pair will fall further to 1.0500.
GBP/USD showed a similar picture, as the downward movement brought the price closer to the upper range of the psychological level of 1.2000/1.2050. Failing to stay below it may ultimately lead to a reduction in the volume of short positions and, as a result, a price rebound.
The material has been provided by InstaForex Company – www.instaforex.com
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