The EUR/USD rallied higher after U.S GDP disappointed markets and showed a bigger slowdown in the economy than expected. The figure, which represents output over the last quarter, showed an increase of just 0.2%. Traders took this information as negative and expected the FOMC statement to be dovish. The statement, however, was slightly more hawkish than expected and although it didn’t provide anything new, it showed that Fed members did not rule out hiking rates before September. This pushed the pair back down to 1.1075.
Today, the pair climbed to a high of 1.1250 but following weaker than expected European data, it rebounded down to 1.1150. This move was supported by stronger than expected Initial Jobless Claims data which showed initial claims dropped to 262K. Traders should watch the Chicago PMI which will be released at 2PM (GMT). The movement is slightly down. Support is found at 1.0960 and resistance at 1.1250.
Yesterday, the GBP/USD climbed to a high of 1.5500. The pair was boosted as weaker than expected U.S GDP data was released. Later in the session, the FOMC statement was released and surprised the market as it was more hawkish than expected. Traders expected the Fed to push back the rate hike and discuss weakness in the economy. However, recent data was shrugged off and the Fed maintained that any changes to policy would be dependent on monthly advancements.
Today, the pair rebounded downwards and is currently trading at 1.5350. The Dollar is strengthening as Initial Jobless Claims data was just released and showed that claims dropped to 262K when predicted to be 290K. This drop may be supported as the UK elections are inching closer and may cause uncertainty in the market and push the GBP down. The movement is slightly down. Support is found at 1.5350 and resistance at 1.5500.
April 30, 2015 – Forex News
Today’s Hot Asset: EUR/USD
EUR/USD
The EUR/USD rallied higher after U.S GDP disappointed markets and showed a bigger slowdown in the economy than expected. The figure, which represents output over the last quarter, showed an increase of just 0.2%. Traders took this information as negative and expected the FOMC statement to be dovish. The statement, however, was slightly more hawkish than expected and although it didn’t provide anything new, it showed that Fed members did not rule out hiking rates before September. This pushed the pair back down to 1.1075.
Today, the pair climbed to a high of 1.1250 but following weaker than expected European data, it rebounded down to 1.1150. This move was supported by stronger than expected Initial Jobless Claims data which showed initial claims dropped to 262K. Traders should watch the Chicago PMI which will be released at 2PM (GMT). The movement is slightly down. Support is found at 1.0960 and resistance at 1.1250.
GBP/USD
Yesterday, the GBP/USD climbed to a high of 1.5500. The pair was boosted as weaker than expected U.S GDP data was released. Later in the session, the FOMC statement was released and surprised the market as it was more hawkish than expected. Traders expected the Fed to push back the rate hike and discuss weakness in the economy. However, recent data was shrugged off and the Fed maintained that any changes to policy would be dependent on monthly advancements.
Today, the pair rebounded downwards and is currently trading at 1.5350. The Dollar is strengthening as Initial Jobless Claims data was just released and showed that claims dropped to 262K when predicted to be 290K. This drop may be supported as the UK elections are inching closer and may cause uncertainty in the market and push the GBP down. The movement is slightly down. Support is found at 1.5350 and resistance at 1.5500.
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