As expected the EUR/USD dropped and broke through its support once the FOMC statement was released. The U.S. Dollar strengthened following the official target rate forecast increase and consequently the EUR/USD pair reached 1.2840, its lowest price since July 2013. Loses were limited, however, as the Fed stated that the interest rates will remain near zero for a “considerable time” and downgraded the GDP growth forecast. Today will be another interesting day for binary options traders. At 9.15AM (GMT) the European Central Bank will introduce the total value of money the ECB will create and use to loan to Eurozone banks. At 12.45PM (GMT) Janet Yellen will speak at the Asset Learning conference and at 2PM (GMT) the Philadelphia Fed Manufacturing Index will be released.
The movement is now slightly bullish as the price is correcting from its sharp downward movement. However, this could change very soon. Support is found at 1.2830 and resistance at 1.29800.
GBP/USD
The GBP/USD climbed and reached 1.6350 before yesterday’s FOMC report. As the report was announced, the pair erased its previous gains and fell 100 pips to 1.6250. We expect very high volatility during the next two days as the Scottish Independence Vote is taking place today. The surveys show a 50/50 result which could cause the pair to range in a wide channel. The percentage of registered voters is incredibly high (97%) showing how serious the decision will be. The final result will drive the British pound sharply up or sharply down so make sure to watch!
The trend is sideways. Support is found at 1.6165 and resistance at 1.6350.
September 18, 2014 – Forex News
Hot asset for today: GBP/USD
EUR/USD
As expected the EUR/USD dropped and broke through its support once the FOMC statement was released. The U.S. Dollar strengthened following the official target rate forecast increase and consequently the EUR/USD pair reached 1.2840, its lowest price since July 2013. Loses were limited, however, as the Fed stated that the interest rates will remain near zero for a “considerable time” and downgraded the GDP growth forecast. Today will be another interesting day for binary options traders. At 9.15AM (GMT) the European Central Bank will introduce the total value of money the ECB will create and use to loan to Eurozone banks. At 12.45PM (GMT) Janet Yellen will speak at the Asset Learning conference and at 2PM (GMT) the Philadelphia Fed Manufacturing Index will be released.
The movement is now slightly bullish as the price is correcting from its sharp downward movement. However, this could change very soon. Support is found at 1.2830 and resistance at 1.29800.
GBP/USD
The GBP/USD climbed and reached 1.6350 before yesterday’s FOMC report. As the report was announced, the pair erased its previous gains and fell 100 pips to 1.6250. We expect very high volatility during the next two days as the Scottish Independence Vote is taking place today. The surveys show a 50/50 result which could cause the pair to range in a wide channel. The percentage of registered voters is incredibly high (97%) showing how serious the decision will be. The final result will drive the British pound sharply up or sharply down so make sure to watch!
The trend is sideways. Support is found at 1.6165 and resistance at 1.6350.
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