Yesterday, the EUR/USD continued to decline and dropped below 1.2300. The downwards momentum was caused by Wednesday’s FOMC statement. The report did not specify a date for the interest rate hike but the market still took the report as hawkish.
No important data will be released later today so volatility could decline. German PPI and Consumer Climate data came out positive but reaction in the market was limited. The movement is sideways and the pair could test its support level soon. Support is found at 1.2245 and resistance at 1.2370.
After reaching its support level at 1.5540, the GBP/USD rebounded upwards and is currently trading around 1.5660. The climb was supported by positive Retail Sales data which showed an increase of 1.6% over the past month. As this was the second time this level was tested, we can see that the support is strong. Therefore, if the price breaks through we should see significant downwards movement.
Low volatility is expected today as no important economic data will be released. The movement is sideways. Support is found at 1.5540 and resistance at 1.5600.
December 19, 2014 – Forex News
Hot asset for today: EUR/USD
EUR/USD
Yesterday, the EUR/USD continued to decline and dropped below 1.2300. The downwards momentum was caused by Wednesday’s FOMC statement. The report did not specify a date for the interest rate hike but the market still took the report as hawkish.
No important data will be released later today so volatility could decline. German PPI and Consumer Climate data came out positive but reaction in the market was limited. The movement is sideways and the pair could test its support level soon. Support is found at 1.2245 and resistance at 1.2370.
GBP/USD
After reaching its support level at 1.5540, the GBP/USD rebounded upwards and is currently trading around 1.5660. The climb was supported by positive Retail Sales data which showed an increase of 1.6% over the past month. As this was the second time this level was tested, we can see that the support is strong. Therefore, if the price breaks through we should see significant downwards movement.
Low volatility is expected today as no important economic data will be released. The movement is sideways. Support is found at 1.5540 and resistance at 1.5600.
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