Yesterday, the EUR/USD dropped from 1.2760 to 1.2630 as the German ZEW Economic sentiment came out negative and pointed to a possible recession in the euro area. The EU Industrial production index also came out below expectations at -1.8%, adding to the bearish sentiment.
Today the President of the European central bank, Mario Draghi, will deliver opening remarks at the 7th Statistics Conference in Frankfurt at 7AM (GMT). We expect his comments to be dovish and this could push the pair below 1.2600. Later on, at 12.30PM (GMT) U.S. Retail Sales data and PPI data will be released and should create great trading opportunities. The movement is slightly bearish. Support is found at 1.2600 and resistance is at 1.2770.
On Tuesday, the GBP/USD broke through 1.6000 and fell to 1.5875. The pair reacted to worse than expected UK CPI data which was 0.2% lower than forecast. Today, you should watch the UK labour data which will be released at 8.30am GMT. The prediction is that it will be a slightly worse figure than the previous result, however, the past 4 released have beat expectations. In this is the case we should see upwards momentum.
Sentiment may change if U.S. Retail Sales supports the U.S. Dollar. The trend is sideways. Support is found at 1.5875 and resistance at 1.6000.
October 15, 2014 – Forex News
Hot asset for today: EUR/USD
EUR/USD
Yesterday, the EUR/USD dropped from 1.2760 to 1.2630 as the German ZEW Economic sentiment came out negative and pointed to a possible recession in the euro area. The EU Industrial production index also came out below expectations at -1.8%, adding to the bearish sentiment.
Today the President of the European central bank, Mario Draghi, will deliver opening remarks at the 7th Statistics Conference in Frankfurt at 7AM (GMT). We expect his comments to be dovish and this could push the pair below 1.2600. Later on, at 12.30PM (GMT) U.S. Retail Sales data and PPI data will be released and should create great trading opportunities. The movement is slightly bearish. Support is found at 1.2600 and resistance is at 1.2770.
GBP/USD
On Tuesday, the GBP/USD broke through 1.6000 and fell to 1.5875. The pair reacted to worse than expected UK CPI data which was 0.2% lower than forecast. Today, you should watch the UK labour data which will be released at 8.30am GMT. The prediction is that it will be a slightly worse figure than the previous result, however, the past 4 released have beat expectations. In this is the case we should see upwards momentum.
Sentiment may change if U.S. Retail Sales supports the U.S. Dollar. The trend is sideways. Support is found at 1.5875 and resistance at 1.6000.
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