The EUR/USD pair jumped up immediately after the FOMC Meeting Minutes came out. We saw in the report that the Fed is concerned about lower inflation data and the possible increase of interest rates may be postponed through 2015. The pair climbed to 1.3870 where it then reversed. Today we should pay attention to the ECB Monthly Bulletin which will be posted at 8.00AM (GMT). Any hints about a possible rise in monetary stimulus would cause the pair to move back down. Also at 6.00PM (GMT) the Federal Budget Balance will come out. The trend is now reversing and is slightly bearish. That might signalize some speculation over a dovish ECB report. The support is lying at 1.3780 and resistance at 1.3880.
The GBP/USD pair rose by 250 pips during the past 3 trading days and reached its highest value since February 16th. If the price had continued a further 20 pips up, it would have reached its highest price since November 2009. The price was pulled up by the FOMC statement which was released yesterday evening (GMT) and when compared to Janet Yellen’s press conference, the report was dovish. Today we might witnesses another increase connected to the Bank of England official rate release. If we look at the past we can see that even though the BoE did not make any changes, the report was always bullish for the pound. The trend is now slightly bearish but can change once the official rate will come out. The support is lying at 1.6750 and resistance at 1.6820.
Yesterday the USD/JPY pair started to correct its previous downward movement (from April 6th when the price dropped by more than 250 pips) and slightly increased. However, once the FOMC Meeting minutes came out the sentiment turned and the pair fell back below 101.70. Today traders should keep an eye on the Japanese Monetary Policy Meeting Minutes at 11.50PM (GMT). Most analysts expect that the Bank of Japan will add monetary stimulus by June/July which would lead to weaker Yen. That’s why we suggest not to currently place long-term selling positions on the pair. The trend is now slightly bearish with support at 101.50 and resistance at 102.20.
April 10, 2014 – Forex News
Hot asset for today: GBP/USD
The EUR/USD pair jumped up immediately after the FOMC Meeting Minutes came out. We saw in the report that the Fed is concerned about lower inflation data and the possible increase of interest rates may be postponed through 2015. The pair climbed to 1.3870 where it then reversed. Today we should pay attention to the ECB Monthly Bulletin which will be posted at 8.00AM (GMT). Any hints about a possible rise in monetary stimulus would cause the pair to move back down. Also at 6.00PM (GMT) the Federal Budget Balance will come out. The trend is now reversing and is slightly bearish. That might signalize some speculation over a dovish ECB report. The support is lying at 1.3780 and resistance at 1.3880.
The GBP/USD pair rose by 250 pips during the past 3 trading days and reached its highest value since February 16th. If the price had continued a further 20 pips up, it would have reached its highest price since November 2009. The price was pulled up by the FOMC statement which was released yesterday evening (GMT) and when compared to Janet Yellen’s press conference, the report was dovish. Today we might witnesses another increase connected to the Bank of England official rate release. If we look at the past we can see that even though the BoE did not make any changes, the report was always bullish for the pound. The trend is now slightly bearish but can change once the official rate will come out. The support is lying at 1.6750 and resistance at 1.6820.
Yesterday the USD/JPY pair started to correct its previous downward movement (from April 6th when the price dropped by more than 250 pips) and slightly increased. However, once the FOMC Meeting minutes came out the sentiment turned and the pair fell back below 101.70. Today traders should keep an eye on the Japanese Monetary Policy Meeting Minutes at 11.50PM (GMT). Most analysts expect that the Bank of Japan will add monetary stimulus by June/July which would lead to weaker Yen. That’s why we suggest not to currently place long-term selling positions on the pair. The trend is now slightly bearish with support at 101.50 and resistance at 102.20.
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