Despite the fact that the U.S. market was closed, the EUR/USD climbed 150 pips during the American session and reached 1.2770. The market adjusted to new information gained at the weekend as several FOMC members argued that there is less justification to increase interest rates with the worsening global outlook and the stronger U.S. Dollar. The market had already priced in speculation of an earlier hike in rates and so we then saw a correction.
Today, we should pay attention to the German ZEW Economic Sentiment data which will be released at 9.00AM (GMT). The expectation is that the figure will be the lowest value since November 2013 and this could push the pair back below 1.2700. The movement is sideways. Support is found at 1.2650 and resistance is at 1.2790.
Despite the weakening U.S. Dollar, the GBP/USD slightly decreased yesterday and remained below 1.6100. The British Pound reached a 6 year high in July but has since tumbled almost 6% against the U.S. Dollar. The currency has struggled after recent political issues.
Today at 8.30AM (GMT) U.K. inflation data will be released and is predicted to show a 1.4% increase. Even though inflation is not too far from their 2% target we can still see a downward pattern in the data and this is depreciating the currency. Volatility is currently very low meaning that traders are waiting for further data before opening any positions. The trend is sideways. Support is found at 1.600 and resistance at 1.6135.
October 14, 2014 – Forex News
Hot asset for today: EUR/USD
EUR/USD
Despite the fact that the U.S. market was closed, the EUR/USD climbed 150 pips during the American session and reached 1.2770. The market adjusted to new information gained at the weekend as several FOMC members argued that there is less justification to increase interest rates with the worsening global outlook and the stronger U.S. Dollar. The market had already priced in speculation of an earlier hike in rates and so we then saw a correction.
Today, we should pay attention to the German ZEW Economic Sentiment data which will be released at 9.00AM (GMT). The expectation is that the figure will be the lowest value since November 2013 and this could push the pair back below 1.2700. The movement is sideways. Support is found at 1.2650 and resistance is at 1.2790.
GBP/USD
Despite the weakening U.S. Dollar, the GBP/USD slightly decreased yesterday and remained below 1.6100. The British Pound reached a 6 year high in July but has since tumbled almost 6% against the U.S. Dollar. The currency has struggled after recent political issues.
Today at 8.30AM (GMT) U.K. inflation data will be released and is predicted to show a 1.4% increase. Even though inflation is not too far from their 2% target we can still see a downward pattern in the data and this is depreciating the currency. Volatility is currently very low meaning that traders are waiting for further data before opening any positions. The trend is sideways. Support is found at 1.600 and resistance at 1.6135.
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