ECB About To Release Its Interest Rates Annoucement

The EUR/USD is climbing today after falling yesterday. The main impetus so far for upward movement has been better than expected German factory orders data, which has given the Euro a boost. Though the pair is bullish now, large events happening late today – specifically the ECB interest rate decision and press conference starting at 11:45 GMT- have the potential to severely alter the pair’s trajectory. In addition, there are smaller events like European retail sales (9:00 GMT) and US initial jobless claims (12:30 GMT) that may also move the EUR/USD. All in all, until further data enters the scene, the pair may continue to climb. Look for support at 1.3580 and resistance at 1.3660.

The USD/JPY has gone down during the Asian session. Yesterday, US employment and trade balance data came out worse than expected, so it is not surprsing that the dollar started the day under downward pressure. Now, the pair seems to be stabilizing ahead of tomorrow’s Nonfarm Payrolls data. Due to the importance of this data, and the absence of any significance news affecting the pair today, ti is likely that the USD/JPY will either go down a little further or begin to range as traders prepare for tomorrow. Look for support at 102.40 and resistance at 102.80.