Yesterday, the EUR/USD pair finally broke through its support and fell to 1.3555. The pair was driven by both currencies. The U.S. Dollar strengthened on the back of the Fed Chairman Janet Yellen testimony and Euro weakened after ZEW Economic sentiment came out unexpectedly low. Janet Yellen was in her statements dovish (as expected) with some hawkish sentences, e.g. “overall view is more positive”. Today we should pay attention to the U.S. PPI data which is coming out at 12.30PM (GMT). The PPI data are predicted to increase by 0.2% and any number higher than that might support another bearish move down. Later on at 1.15PM (GMT) the U.S. Industrial production might increase volatility and give us some trading opportunities. The movement is sideways. The support is lying at 1.3550 and resistance at 1.3600.
The GBP/USD pair sharply increase to the highest price in 6 years when adding more than 130 pips! The pair strongly reacted on U.K. CPI data which showed very positive results and supported speculation that Bank of England will start to increase the interest rates earlier than expected. As Janet Yellen started to give her testimony, the pair almost reached 1.7200 but the overall movement was in advance of dollar so the pair slightly moved down to its current 1.7130. Today we should expect another great trading opportunity connected with U.K. labour data which will be released at 8.30AM (GMT). Looking back we can see that the U.K. labour market has been recovery steadily cutting the Unemployment rate in one year by more than 1% to recent expectation of 6.5%. The movement is slightly bearish but as the fundamental data comes out the trend will change accordingly. The support is lying at 1.7100 and resistance at 1.7200.
July 16, 2014 – Forex News
Hot Asset For Today: GBP/USD
Yesterday, the EUR/USD pair finally broke through its support and fell to 1.3555. The pair was driven by both currencies. The U.S. Dollar strengthened on the back of the Fed Chairman Janet Yellen testimony and Euro weakened after ZEW Economic sentiment came out unexpectedly low. Janet Yellen was in her statements dovish (as expected) with some hawkish sentences, e.g. “overall view is more positive”. Today we should pay attention to the U.S. PPI data which is coming out at 12.30PM (GMT). The PPI data are predicted to increase by 0.2% and any number higher than that might support another bearish move down. Later on at 1.15PM (GMT) the U.S. Industrial production might increase volatility and give us some trading opportunities. The movement is sideways. The support is lying at 1.3550 and resistance at 1.3600.
The GBP/USD pair sharply increase to the highest price in 6 years when adding more than 130 pips! The pair strongly reacted on U.K. CPI data which showed very positive results and supported speculation that Bank of England will start to increase the interest rates earlier than expected. As Janet Yellen started to give her testimony, the pair almost reached 1.7200 but the overall movement was in advance of dollar so the pair slightly moved down to its current 1.7130. Today we should expect another great trading opportunity connected with U.K. labour data which will be released at 8.30AM (GMT). Looking back we can see that the U.K. labour market has been recovery steadily cutting the Unemployment rate in one year by more than 1% to recent expectation of 6.5%. The movement is slightly bearish but as the fundamental data comes out the trend will change accordingly. The support is lying at 1.7100 and resistance at 1.7200.
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