Market Outlook By Commexfx

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Daily Outlook 11-08-2014

 

The significant pattern may be down for about all the majors against the Dollar, yet in the short term, an exertion to assemble base is unmistakable, as apparent in Euro & Aussie. Fleeting energizes this week in the majors can’t be discounted.

 

Euro (1.3402) has made two week by week candles with long legs, recommending monstrous lack of engagement to go down. An endeavor to rally towards 1.3450-75 can’t be discounted however all the bigger patterns still stay down.

 

Dollar-Yen (102.15) is exchanging the scope of 101-and the extent bound value activity doesn’t look like closure at whatever time soon. Euro-Yen (136.89) ricocheted from precisely the significant help zone of 136.00-135.75 on the over of a stronger Euro. It may test 137.40-138.00 now however obliges a break over 138 to truly indicate any quality.

 

Pound (1.6781) has been making new lows not surprisingly yet now a restorative bob to 1.69 levels may be not that startling. A disappointment to bob would mean a prompt tumble to 1.6740-6700 levels.

 

Aussie (0.9284) has been pushed up by the long haul help zone of 0.9250-9200 and that secures the almost 5 month long scope of 0.92-0.95, which is not looking any indications of breaking yet. Expect safety at 0.9350-75.

 

Gold (1305.98) fell off from the every day channel safety close to 1333. A fall underneath 1300 may take it lower to 1280 however while over 1300-1305 we may expect an ascent towards 1340-1350 in the close term. Gold-WTI proportion (13.32) has descended a bit however is exchanging close significant safety of 13.5 which if holds may push it towards 13-12.5 in the close term. Gold may be bearish all things considered.

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Daily Outlook 12-08-2014

 

A quiet day for the currencies. Dollar gains a little against nearly all the majors.

 

Euro (1.3371) is weakening again and a break below 1.3370-60 will decrease the possibility of the expected rally towards 1.3450-75 considerably and increase the chances of testing 1.33 levels.

 

Dollar-Yen (102.30) is trading in the range of 101-and the range bound price action doesn't look like ending anytime soon. Euro-Yen (136.78) has been trading in a downward channel for the last few days and the range now may be modified to 135.75-138.00, which may not break without any major event.

 

Pound (1.6774) has been making new lows as expected but now a corrective bounce to 1.68-69 levels may be not that unexpected. A failure to bounce would mean an immediate fall to 1.6740-6700 levels.

 

Aussie (0.9259) is wandering about the long term support zone of 0.9250-9200 again, which defines the nearly 5 month long range of 0.92-0.95. Only a break below 0.92 would reverse the medium and long term trend to bearish.

 

Gold (1306.99) is ranged for now above 1305 but has a fair possibility of coming down to 1300-1290 in the coming sessions while the resistance near 1333 still holds. Silver (19.992) is ranged in the 19.7-20.108 region. No clarity is seen unless a break on either side of this range occurs. Gold-Silver ratio (65.345) came off sharply from 65.92 and may come down further towards 64.4 in the near term.

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Daily Outlook 13-08-2014

 

Euro proposes building a base and a comparative thing may be contended for the Sterling. Some Dollar shortcoming against the majors in the fleeting maybe?

 

Euro (1.3364) bears neglected to break 1.3330 notwithstanding the poor German information yesterday and perhaps that recommends inalienable quality in the short term. A breakout from this scope of 1.3300-1.3475 may make tremendous moves with the bullish alternative slowly picking up assurance.

 

Dollar-Yen (102.29) is exchanging the scope of 101-and the extent bound value activity doesn’t look like closure whenever soon. Euro-Yen (136.70) has been exchanging a descending channel for the last few days and the extent now may be adjusted to 135.75-138.00, which may not break without any significant occasion.

 

Pound (1.6804) has given the beginning skip to 1.68 not surprisingly and a break over 1.6840 would indicate a further expansion to 1.69 as well however the drawback danger of testing 1.6740 remaining parts still open.

 

Aussie (0.9278) is meandering about the long haul help zone of 0.9250-9200 once more, which characterizes the almost 5 month long scope of 0.92-0.95. Just a break beneath 0.92 would switch the medium and long haul pattern to bearish.

 

Gold (1308.47) is gone until further notice over 1305 and may focus on 1300-1290 in the nearing sessions from where we may see an upward revision. Silver (19.964) keeps on remainning went in the 19.7-20.108 district. As said prior, no clarity is seen unless a break on either side of this extent happens. Gold-Silver proportion (65.529) is exchanging inside 65.7-65.083 and in the event that it breaks lower may focus on 64.4 in the close term. Long haul is pattern is down.

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Daily Outlook 14-08-2014

 

The BOE Governor almost wrecked the Pound when he hosed the shots of a rate trek not long from now and proposed that the pace of rate climb is going to be slower than the business desire. As an immediate result Dollar has discovered some quality.

 

Euro (1.3357) is stuck in a contracting reach taking a triangular shape, with limits having a go at 1.3450 and 1.3330. We are as of now following for a breakout from the scope of 1.3300-1.3450 that may make colossal moves.

 

Dollar-Yen (102.58) is exchanging the scope of 101-103 and the extent bound value activity doesn’t look like completion at whatever time soon. Euro-Yen (137.04) has been approaching the upper end of its descending channel on the again of powerless Yen yet the scope of 135.75-138.00 may not break without any significant occasion.

 

Pound (1.6680) slammed precisely from our safety at 1.6840 to hit a 4 month low at 1.6670, past our target levels of 1.6740-6700. Holding over 1.6660-20, some short blanket may rise however the following significant help comes route deeper around 1.64 levels.

 

Aussie (0.9297) ricocheted from the long haul help zone of 0.9250-9200 again and may broaden the skip on a break over 0.9310. The likelihood of the scope of 0.92-0.95 breaking any soon looks extremely thin at this minute.

 

Gold (1311.50) has been firmly gone with little moves in the 1310-1320 district. The 1305 level is going about as a decent backing for the time being keeping in mind that holds, the metal may keep on consolidaing sideways. A tumble to 1300-1290 is still a probability unless we see a break over 1320-1325.

 

Silver (19.846) keeps on remainning went in the 19.66-20.108 district however it may not enjoy it long to reprieve the 19.6 levels to develop its fall downwards to19-18.5. Gold-Silver proportion (66.046) is taking off high breaking over the 65.7 levels. On the off chance that this proceeds with it might soon focus on 67.5 in the close term. This may demonstrate that Silver may have some room on the drawback given that Gold stays stable.

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Daily Outlook 15-08-2014

 

GBP/USD managed sharp misfortunes a day prior. In financial news, US Unemployment Claims moved to 311 thousand, above desires. There are no British discharges on Thursday. The UK will discharge Second Estimate GDP on Friday, a key pointer.

 

AUD/USD: Aussie Continues With Its Gain In The Asian Session , For the 24 hours to 23:00 GMT, the AUD reinforced 0.14% against the USD to close at 0.9318. LME Copper costs declined 0.6% or $39.0/MT to $6886.5/MT. Aluminum costs declined 1.0% or $21.0/MT to $2005.0/MT.

 

USD/JPY worldwide rating org, Fitch Ratings demonstrated that the Japanese economy is “weathering” the late deals duty climb, further alerted that the compensation development is an imperative component in the country, which has neglected to build convincingly.in the Asian session, at Gmt0300, the pair is exchanging at 102.5, with the USD exchanging tad higher from yesterday’s nearby.

 

USD/CHF The pair is required to discover help at 0.9039, and a fall through could take it to the following help level of 0.9011. The pair is relied upon to think that its first safety at 0.9091, and an ascent through could take it to the following safety level of 0.9115.

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Daily Outlook 18-08-2014

 

EUR/USD The pair is expected to find support at 1.3367, and a fall through could take it to the next support level of 1.3336. The pair is expected to find its first resistance at 1.342, and a rise through could take it to the next resistance level of 1.3442.Going forward, trading trends in the Euro today would be governed by Euro-zone’s trade balance, scheduled in a few hours.

 

GBP/USD The pair is expected to find support at 1.6694, and a fall through could take it to the next support level of 1.6658. The pair is expected to find its first resistance at 1.6749, and a rise through could take it to the next resistance level of 1.6768.Amid lack of economic releases from the UK today, trading trends in the Pound today would be governed by global news/events.

 

AUD/USD The pair is expected to find support at 0.9299, and a fall through could take it to the next support level of 0.928. The pair is expected to find its first resistance at 0.9337, and a rise through could take it to the next resistance level of 0.9356.Amid lack of economic releases from Australia today, investors would keenly await tomorrow’s minutes of the latest RBA policy meeting.

 

USD/CHF The pair is expected to find support at 0.9009, and a fall through could take it to the next support level of 0.8990. The pair is expected to find its first resistance at 0.9059, and a rise through could take it to the next resistance level of 0.9090.

 

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Daily Outlook 19-08-2014

 

The rally in stocks or selloff in bonds didn’t have any discernible effect in the Currencies. Nearly all of the majors except Sterling keep trading in ranges and a breakout is required to shake them out of this sleep.

 

EUR/USD The pair is expected to find support at 1.3339, and a fall through could take it to the next support level of 1.3323. The pair is expected to find its first resistance at 1.3386, and a rise through could take it to the next resistance level of 1.3417.Amid a lack of major economic releases from the Euro-region, trading trends in the pair today are expected to be determined by the inflation data from the US, scheduled later in the day.

 

GBP/USD The pair is expected to find support at 1.6710, and a fall through could take it to the next support level of 1.6698. The pair is expected to find its first resistance at 1.6736, and a rise through could take it to the next resistance level of 1.6750.Going forward, investors today would look for the UK’s consumer prices data, scheduled in a few hours.

 

AUD/USD The pair is expected to find support at 0.9317, and a fall through could take it to the next support level of 0.9298. The pair is expected to find its first resistance at 0.9349, and a rise through could take it to the next resistance level of 0.9362.Going forward, investors would focus on the speech of RBA’s Governor, Glenn Stevens, scheduled to release in the mid-night.

 

USD/CHF The pair is expected to find support at 0.9039, and a fall through could take it to the next support level of 0.9007. The pair is expected to find its first resistance at 0.9088, and a rise through could take it to the next resistance level of 0.9105.

 

USD/CAD The pair is expected to find support at 1.0876, and a fall through could take it to the next support level of 1.0860. The pair is expected to find its first resistance at 1.0905, and a rise through could take it to the next resistance level of 1.0918.

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Daily Outlook 20-08-2014

 

EUR / USD

The EUR declined 0.30% against the USD and closed at 1.3321, after the Eurozone’s current account surplus narrowed in June.

In the US, the consumer price index rose 2.0% in July, matching with market estimates. The housing market recovery is back on track, as the housing starts in the US climbed to 1.093 million units in July, marking its highest level since November 2013

The pair is expected to find support at 1.3292, and a fall through could take it to the next support level of 1.3274. The pair is expected to find its first resistance at 1.3344, and a rise through could take it to the next resistance level of 1.3378.

Traders would keenly await the release of the Fed’s minutes of its latest policy meeting, scheduled later in the day.

 

GBP/USD

The GBP fell .62% against the US Dollar and closed at 1.6620, after downbeat inflation data in the UK. On an annual basis, consumer price index in the UK dropped unexpectedly to 1.6% in July, dampening the prospects of a near term interest rate hike.

Meanwhile, gains in the USD were supported by a rise in the US consumer price index and better than expected readings on US building permits and housing starts, all for the month of July.

The pair is expected to find support at 1.6574, and a fall through could take it to the next support level of 1.6534. The pair is expected to find its first resistance at 1.6690, and a rise through could take it to the next resistance level of 1.6766.

Trading trends in the Pound today are expected to be determined by the Bank of england’s minutes of the latest policy meeting, scheduled to release in a few hours.

 

USD/JPY

The USD strengthened 0.28% against the JPY and closed at 102.92.

Earlier this morning, data from Japan indicated that adjusted merchandise trade deficit in the nation narrowed to ¥1,23.8 billion in July. Exports were up 3.9% (Y-o-Y) and the imports climbed 2.3% (Y-o-Y) in July.

The pair is expected to find support at 102.65, and a fall through could take it to the next support level of 102.33. The pair is expected to find its first resistance at 103.15, and a rise through could take it to the next resistance level of 103.33.

Market participants would await manufacturing PMI data, scheduled for release tomorrow.

 

USD/CHF

the USD rose 0.29% against the CHF and closed at 0.9093, following upbeat economic releases from the US.

The pair is expected to find support at 0.9068, and a fall through could take it to the next support level of 0.9041. The pair is expected to find its first resistance at 0.911, and a rise through could take it to the next resistance level of 0.9125.

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Daily Outlook 21-08-2014

 

EUR USD The EUR declined 0.47% against the USD and closed at 1.3258. The US Dollar gained ground after the US Fed, in the minutes of its latest policy meeting, highlighted the improvements in the nation’s economy.

 

In Europe, the German Chancellor, Angela Merkel, urged the Euro-zone leaders to come forward and coordinate more closely to repair the “construction flaws” to overcome the debt crisis in the Euro-zone.

 

The pair is expected to find support at 1.3222, and a fall through could take it to the next support level of 1.3196. The pair is expected to find its first resistance at 1.3295, and a rise through could take it to the next resistance level of 1.3342. Trading trends in the pair today are expected to be determined by service and manufacturing PMIs from Germany, France as well as the Euro-zone. Investors would also keenly await the Jackson Hole 3-day symposium, which is slated to commence later in the day.

 

GBP / USD The GBP fell 0.14% against the USD and closed at 1.6596. The greenback strengthened as the minutes of the latest Fed meeting was hawkish. However, the Pound gained earlier after the BoE minutes from its last policy meeting indicated that two policymakers from the rate-setting committee surprisingly voted in favour of a rate hike in August, marking the first split in more than three years.

 

The pair is expected to find support at 1.6541, and a fall through could take it to the next support level of 1.6506. The pair is expected to find its first resistance at 1.6646, and a rise through could take it to the next resistance level of 1.6716.

 

Trading trends in the Pound today would be determined mainly by retail sales data from the UK.

 

USD / JPY The USD strengthened 0.78% against the JPY and closed at 103.72. Data released early this morning indicated that the manufacturing sector continued to expand in Japan, following a rise to 52.4 in August, markets were expecting it to climb to a level of 51.7.

 

The pair is expected to find support at 103.19, and a fall through could take it to the next support level of 102.51. The pair is expected to find its first resistance at 104.25, and a rise through could take it to the next resistance level of 104.65.

 

USD/CHF The USD rose 0.46% against the CHF and closed at 0.9135. The pair is expected to find support at 0.9108, and a fall through could take it to the next support level of 0.9073.

 

The pair is expected to find its first resistance at 0.9162, and a rise through could take it to the next resistance level of 0.9181. Going forward, market participants would focus on Swiss trade balance, scheduled in a few hours.

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Daily Outlook 22-08-2014

 

EUR / USD

The EUR rose 0.17% against the USD and closed at 1.3280, following upbeat macroeconomic data from Germany.

 

French manufacturing PMI fell to 15-month low of 46.5 in August, underlying concerns about the economic outlook of the Eurozone’s second largest economy.

 

In the US, the Kansas City Fed President Esther George, in an interview from the central bank symposium in Jackson Hole, mentioned that there is steady improvement in the US labour market. Also, the Philadelphia Fed President, Charles Plosser, warned that the Fed should not wait too long to raise benchmark rates and should start raising it sooner, while pursuing a gradual approach.

 

The pair is expected to find support at 1.3252, and a fall through could take it to the next support level of 1.3224. The pair is expected to find its first resistance at 1.3299, and a rise through could take it to the next resistance level of 1.3318.

 

Trading trends in the pair today would be mainly determined by the speeches of heads of the Fed and the ECB, in Jackson Hole, scheduled later in the day.

 

GBP / USD

The GBP fell 0.10% against the USD and closed at 1.6579, after retail sales in the UK grew at the slowest annual rate since November last year.

The UK retail sales volumes rose 0.1% in July, compared to a revised advance of 0.2% in the previous month.

 

The pair is expected to find support at 1.6561, and a fall through could take it to the next support level of 1.6544. The pair is expected to find its first resistance at 1.6599, and a rise through could take it to the next resistance level of 1.6620.

 

Going forward, a speech by the BoE’s Deputy Governor, Ben Broadbent, at the Fed Jackson Hole Symposium, would be closely watched.

 

USD / JPY

The USD strengthened 0.13% against the JPY and closed at 103.85.

 

Japan’s supermarket sales in July fell 2.1%, on an annual basis, down for the fourth straight month after posting a 2.8% drop in the previous month.

 

The pair is expected to find support at 103.61, and a fall through could take it to the next support level of 103.42. The pair is expected to find its first resistance at 103.98, and a rise through could take it to the next resistance level of 104.16.

USD / CHF

The USD declined 0.22% against the CHF and closed at 0.9115.

 

the Swiss trade surplus widened to 3.98 billionswiss francs in July, compared to market expectations of a surplus of CHF1.85 billion.

 

The pair is expected to find support at 0.91, and a fall through could take it to the next support level of 0.9086. The pair is expected to find its first resistance at 0.9137, and a rise through could take it to the next resistance level of 0.9160.

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Daily Outlook 25-08-2014

 

Euro (1.3202) has taken a big hit after the Jackson Hole meet as it trades around 1.32. With no sign of strength emergent, it definitely looks destined for our target of 1.31. Resistance at 1.3330-50 and support in 1.3250-25.

 

Dollar-Yen (104.18) is trading at a 7-month high but looks a bit overstretched now with a short term correction looking probable from 104.50-90. Interestingly,

 

Euro-Yen (137.55) has been rejected from the upper end of the 3-week range of 135.75-138. A successful break above 138 would signal a rally towards 139.00-25, even 140.

 

Pound (1.6559) has nearly reached our short term target of 1.6525-1.6470. But any attempt to bounce will face selling pressure from 1.6650-6700.

 

Aussie (0.9313) remains unchanged and keeps the range of 0.92-0.95 intact. Play the range as long as it remains unbroken with the median line at 0.9350-80.

 

Gold (1278.771) has bounced slightly from support near 1270 on the weekly and 3-day charts and while that holds we may see some more sessions on the positive side ranging in the 1270-1295 region. A break below 1270 if seen, could take it down to 1260-1250 in the longer term.

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Daily Outlook 26-08-2014

 

EUR/USD

The EUR declined 0.08% against the USD and closed at 1.3186.

 

Over the weekend at the Jackson Hole Summit, the ECB Chief, Mario Draghi, revealed that the policymakers are willing to introduce additional stimulus, if there is further drop in inflation in the region.

 

In the US, the pace of growth in the services sector lost momentum as the services PMI fell for a second consecutive month in August to a level of 58.5, below the reading of 60.8 registered in July.

 

The pair is expected to find support at 1.3184, and a fall through could take it to the next support level of 1.3165. The pair is expected to find its first resistance at 1.3217, and a rise through could take it to the next resistance level of 1.3231.

 

Going forward, the crucial durable goods orders and consumer confidence data from the US would be closely watched.

 

GBP/USD

The GBP rose 0.12% against the USD and closed at 1.6568.

 

in the Jackson Hole Summit, the BoE Deputy Governor, Ben Broadbent, stated that wage growth in Britain is not going to pick up anytime soon. He further mentioned that the bank would not hike its benchmark rates until there is a clear prospect of stronger wage growth in the nation.

 

The pair is expected to find support at 1.6564, and a fall through could take it to the next support level of 1.6534. The pair is expected to find its first resistance at 1.6611, and a rise through could take it to the next resistance level of 1.6628.

 

Amid a light economic calendar from the UK today, trading trends in the pair today are expected to be determined by news from various economies.

 

USD/JPY

The USD strengthened 0.16% against the JPY and closed at 104.05, following soft economic releases from the US.

 

theBoJ Governor, Haruhiko Kuroda, stated that the Japanese economy would still need its ultra-easy stimulus measure for some more time in order to get rid of deflation.

 

The pair is expected to find support at 103.67, and a fall through could take it to the next support level of 103.51. The pair is expected to find its first resistance at 104.13, and a rise through could take it to the next resistance level of 104.44.

 

 

 

USD/CHF

The USD declined 0.11% against the CHF and closed at 0.9161.

 

The pair is expected to find support at 0.9133, and a fall through could take it to the next support level of 0.9121. The pair is expected to find its first resistance at 0.9165, and a rise through could take it to the next resistance level of 0.9185.

 

Amid lack of economic releases from Switzerland today, market sentiments would shift their focus to Wednesday’s Swiss UBS Consumption Indicator.

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Daily Outlook 27-08-2014

 

EUR/USD

The EUR declined 0.14% against the USD and closed at 1.3168. The USD gained ground, following upbeat economic data from the US.

 

In the US, the orders for the durable goods climbed a record 22.6%. Additionally, the consumer confidence in the US rose to its highest level since October 2007 to a reading of 92.4 in August, beating market expectations.

 

The pair is expected to find support at 1.314, and a fall through could take it to the next support level of 1.3115. The pair is expected to find its first resistance at 1.3203, and a rise through could take it to the next resistance level of 1.3241.

 

Trading trends in the Euro today are expected to be determined by German consumer confidence data, scheduled in a few hours.

 

GBP / USD

The GBP fell 0.13% against the USD and closed at 1.6546.

 

In economic news, the mortgage approvals in the UK declined to two-month low in July, diminishing optimism over the health of the housing sector in the nation.

 

The pair is expected to find support at 1.6527, and a fall through could take it to the next support level of 1.6502. The pair is expected to find its first resistance at 1.6587, and a rise through could take it to the next resistance level of 1.6622.

 

Amid lack of economic releases from the UK today, trading trends in the pair today are expected to be determined by global events.

 

USD/JPY

The USD traded tad higher against the JPY and closed at 104.09.

 

In economic news, the Japanese small business confidence index fell to 47.7 in August, compared to market expectations of a rise to a level of 49.5.

 

The pair is expected to find support at 103.8, and a fall through could take it to the next support level of 103.55. The pair is expected to find its first resistance at 104.24, and a rise through could take it to the next resistance level of 104.44.

 

USD/CHF

The USD rose 0.16% against the CHF and closed at 0.9176.

 

The pair is expected to find support at 0.9146, and a fall through could take it to the next support level of 0.9117. The pair is expected to find its first resistance at 0.9195, and a rise through could take it to the next resistance level of 0.9215.

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Daily Outlook 28-08-2014

 

EUR USD

The EUR rose 0.19% against the USD and closed at 1.3193, despite the German Gfk consumer confidence unexpectedly easing in September for the first time in more than one and a half years.

 

Meanwhile, the German Finance Minister, Wolfgang Schaeuble, in an interview, said that the comments made by the ECB Chief, Mario Draghi, at the Jackson Hole, were “over-interpreted”, raising concerns that the central bank may not be as close to introducing additional stimulus measures as previously indicated.

 

The pair is expected to find support at 1.3173, and a fall through could take it to the next support level of 1.3134. The pair is expected to find its first resistance at 1.3235, and a rise through could take it to the next resistance level of 1.3258.

 

Trading trends in the pair today are expected to be determined by unemployment rate and inflation data from Germany. Additionally, investors would keep a close eye on GDP numbers from the US.

 

GBP USD

The GBP rose 0.18% against the USD and closed at 1.6575.

 

The pair is expected to find support at 1.6554, and a fall through could take it to the next support level of 1.6516. The pair is expected to find its first resistance at 1.6618, and a rise through could take it to the next resistance level of 1.6644.

 

Going forward, investors would look at Britain’s Gfk consumer confidence, scheduled in the midnight.

 

USD JPY

The USD weakened 0.19% against the JPY and closed at 103.90.

 

Yesterday, Japan’s Vice Economy Minister, Yasutoshi Nishimura, cautioned that the Japanese government needs to be more careful regarding its upcoming decision about raising the national sales tax.

 

The pair is expected to find support at 103.61, and a fall through could take it to the next support level of 103.46. The pair is expected to find its first resistance at 104.01, and a rise through could take it to the next resistance level of 104.25.

 

Going forward, investors would focus on Japan’s crucial consumer prices and jobless rate data, scheduled to release in the midnight.

 

USD/CHF

The USD declined 0.29% against the CHF and closed at 0.9149.

 

The Swiss UBS consumption indicator fell to 1.66 in July, compared to a reading of 2.07, registered in the previous month.

 

The pair is expected to find support at 0.9117, and a fall through could take it to the next support level of 0.9097. The pair is expected to find its first resistance at 0.917, and a rise through could take it to the next resistance level of 0.9203.

 

Investors would await Q2 employment levels in Switzerland, slated to release ahead in the day.

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Daily Outlook 1-09-2014

 

Euro keeps taking hits from various fronts like US data to the speculation that the QE from the ECB may come this week. The divergence between the US & Eurozone economies is getting more and more clearly reflected in the respective currencies.

 

Euro (1.3123) crashed exactly from our resistance at 1.3220 to reach our medium term target of 1.31. Now it is very close to the long term support zone of 1.3050-3000 though no sign of strength is visible. Let’s see if any short covering emerges from these levels.

 

Dollar-Yen (104.17) is close to hit a new 7-month high above 104.26 but still needs a break above 104.50 to gather bullish momentum for reaching higher levels. The grinding price action without any kind of directional move in Euro-Yen (136.69) actually shows the relative uniformity between Euro & Yen as both weakened simultaneously. The pair remains weak below 138 and the range of 136-138 may sustain for a few sessions more.

 

Pound (1.6596) is stuck within a very narrow range of 1.6540-1.6620 and even a break above 1.66 could not boost the pair. The downtrend remains firm and any bounce may face selling pressure from 1.6700-50 levels.

 

Aussie (0.9338) is testing the August high at 0.9375 levels but the lack of momentum doesn’t promise much more immediate upside. A failure to break above 0.9375 may drag it down towards 0.9280-50 levels once again.

 

Gold (1286.75) is trading lower after a short upward correction from 1271. We may see a rise towards 1300 before falling back to 1280 in the near term while the longer term remains bearish. Gold-WTI ratio (13.42) has fallen from resistance at 14 but may bounce back from 13.3-13.4 levels to target 14.5-15 levels.

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Daily Outlook 2-09-2014

 

EUR / USD

The EUR traded lower against the USD and closed at 1.3131, after the German GDP contracted in the second quarter of 2014.

 

In other economic news, the rate of expansion in Euro-zone manufacturing production eased to a 13-month low in August. The PMI in the Euro-zone dropped to 50.7 in August, compared with 51.8 in July. Moreover, with prospects of more sanctions by EU leaders on Russia for its recent incursion in Ukraine, the Euro is expected to remain under pressure.

 

The pair is expected to find support at 1.3111, and a fall through could take it to the next support level of 1.3100. The pair is expected to find its first resistance at 1.314, and a rise through could take it to the next resistance level of 1.3158.

 

Going forward, investors would pay attention to a slew of economic releases from the US later in the day.

 

GBP / USD

The GBP rose 0.13% against the USD and closed at 1.6612.

 

the UK market PMI edged down in August to 52.5, falling to its lowest level in 14-months, against market expectations for a reading of 55.1 and compared to a reading of 54.8 registered in the prior month. Additionally, data revealed that the UK borrowings rose a total of £3.4 billion in July, the highest in six years.

 

The pair is expected to find support at 1.6561, and a fall through could take it to the next support level of 1.6537. The pair is expected to find its first resistance at 1.6627, and a rise through could take it to the next resistance level of 1.6669.

 

Trading trends in the Pound today are expected to be determined by the PMI construction data from the UK, scheduled in a few hours.

 

USD / JPY

The USD strengthened 0.18% against the JPY and closed at 104.32. the vehicle sales in Japan eased 5.0% on an annual basis, in August, following a 0.6% rise registered in July. Early morning data indicated that the labour cash earnings in Japan had risen 2.6% in July, compared to a revised 1.0% rise in the previous month, while markets were expecting it to rise 0.9%

 

The pair is expected to find support at 104.3, and a fall through could take it to the next support level of 103.85. The pair is expected to find its first resistance at 105.01, and a rise through could take it to the next resistance level of 105.26.

 

Going forward, investors await services PMI data from Japan, scheduled to release early tomorrow.

 

USD/CHF

The USD rose 0.07% against the CHF and closed at 0.9195. The Swiss Franc lost ground, after Switzerland’s manufacturing PMI fell to 52.9 in August.

 

The pair is expected to find support at 0.9183, and a fall through could take it to the next support level of 0.9166. The pair is expected to find its first resistance at 0.9211, and a rise through could take it to the next resistance level of 0.9222.

 

Trading trends in the Swiss today are expected to be determined by the Q2 Swiss GDP, scheduled in a few hours.

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Daily Outlook 2-09-2014

 

EUR / USD

The EUR traded lower against the USD and closed at 1.3131, after the German GDP contracted in the second quarter of 2014.

 

In other economic news, the rate of expansion in Euro-zone manufacturing production eased to a 13-month low in August. The PMI in the Euro-zone dropped to 50.7 in August, compared with 51.8 in July. Moreover, with prospects of more sanctions by EU leaders on Russia for its recent incursion in Ukraine, the Euro is expected to remain under pressure.

 

The pair is expected to find support at 1.3111, and a fall through could take it to the next support level of 1.3100. The pair is expected to find its first resistance at 1.314, and a rise through could take it to the next resistance level of 1.3158.

 

Going forward, investors would pay attention to a slew of economic releases from the US later in the day.

 

GBP / USD

The GBP rose 0.13% against the USD and closed at 1.6612.

 

the UK market PMI edged down in August to 52.5, falling to its lowest level in 14-months, against market expectations for a reading of 55.1 and compared to a reading of 54.8 registered in the prior month. Additionally, data revealed that the UK borrowings rose a total of £3.4 billion in July, the highest in six years.

 

The pair is expected to find support at 1.6561, and a fall through could take it to the next support level of 1.6537. The pair is expected to find its first resistance at 1.6627, and a rise through could take it to the next resistance level of 1.6669.

 

Trading trends in the Pound today are expected to be determined by the PMI construction data from the UK, scheduled in a few hours.

 

USD / JPY

The USD strengthened 0.18% against the JPY and closed at 104.32. the vehicle sales in Japan eased 5.0% on an annual basis, in August, following a 0.6% rise registered in July. Early morning data indicated that the labour cash earnings in Japan had risen 2.6% in July, compared to a revised 1.0% rise in the previous month, while markets were expecting it to rise 0.9%

 

The pair is expected to find support at 104.3, and a fall through could take it to the next support level of 103.85. The pair is expected to find its first resistance at 105.01, and a rise through could take it to the next resistance level of 105.26.

 

Going forward, investors await services PMI data from Japan, scheduled to release early tomorrow.

 

USD/CHF

The USD rose 0.07% against the CHF and closed at 0.9195. The Swiss Franc lost ground, after Switzerland’s manufacturing PMI fell to 52.9 in August.

 

The pair is expected to find support at 0.9183, and a fall through could take it to the next support level of 0.9166. The pair is expected to find its first resistance at 0.9211, and a rise through could take it to the next resistance level of 0.9222.

 

Trading trends in the Swiss today are expected to be determined by the Q2 Swiss GDP, scheduled in a few hours.

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Daily Outlook 3-09-2014

 

EUR USD

The EUR traded marginally higher against the USD and closed at 1.3134.

 

In economic news, the PPI in the Euro-zone eased 0.1% in July, compared to a rise of 0.1% in the previous month. Elsewhere, In Spain, the number of unemployed people registered a rise of 8.1K in August, following a 29.8K decline in the prior month but lower than market expectations.

 

In the US, the manufacturing activity expanded in August at the fastest rate since March 2011.

 

The pair is expected to find support at 1.3117, and a fall through could take it to the next support level of 1.31. The pair is expected to find its first resistance at 1.3145, and a rise through could take it to the next resistance level of 1.3156.

 

Trading trends in the Euro today are expected to be determined by services PMI data from the Euro-zone and its various peripheries as well as Euro-zone’s retail sales data, set for release in a few hours.

 

GBP USD

The GBP fell 0.85% against the USD and closed at 1.6470.

 

In economic news, the UK construction PMI grew at its fastest pace in 7 months to a level of 64.0 in August, higher than market expectations.

 

The pair is expected to find support at 1.6423, and a fall through could take it to the next support level of 1.6378. The pair is expected to find its first resistance at 1.6553, and a rise through could take it to the next resistance level of 1.6638.

 

Trading trends in the Pound today are expected to be determined by services PMI data from the UK, scheduled in a few hours.

 

USD/JPY

The USD strengthened 0.77% against the JPY and closed at 105.12.

data indicated that the Japanese services sector slipped into contraction, as the nation’s services PMI dropped to 49.9 in August, down from a level of 50.4, registered in the prior month.

 

The pair is expected to find support at 104.8, and a fall through could take it to the next support level of 104.41. The pair is expected to find its first resistance at 105.44, and a rise through could take it to the next resistance level of 105.68.

 

USD/CHF

The USD traded lower against the CHF and closed at 0.9191.

 

The Switzerland’s economy stagnated on a quarterly basis in 2Q 2014, following an expansion of 0.5% in the previous quarter.

 

The pair is expected to find support at 0.9182, and a fall through could take it to the next support level of 0.9171. The pair is expected to find its first resistance at 0.9209, and a rise through could take it to the next resistance level of 0.9225.

 

Amid lack of economic releases from Switzerland today, investors would pay attention to economic news from other countries.

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Daily Outlook 4-09-2014

 

EURUSD

The EUR rose 0.13% against the USD and closed at 1.3151, following report about a possible cease-fire agreement between Russia and Ukraine. The service sector in Germany, Euro-zone’s biggest economy, further worsened , falling to 54.9 in August.

 

the services PMI in the Euro-zone dropped to 53.1 in August, down from a reading of 53.5 in July.

 

In the US, the new orders for factory goods jumped in July, pointing further signs of strength in the manufacturing sector. The factory orders rose 10.5% in July, marking its biggest one-month increase since 1992, following a 1.5% increase in the previous month.

 

Separately, the Fed, in its Beige Book survey, indicated that the US economy continued to expand at a “moderate to modest” pace over the summer, as all twelve Federal Reserve regions continued to expand.

 

The pair is expected to find support at 1.3126, and a fall through could take it to the next support level of 1.3104. The pair is expected to find its first resistance at 1.3165, and a rise through could take it to the next resistance level of 1.3182.

 

Trading trends in the Euro today would be determined by the much crucial interest rate decision by the ECB, scheduled later today. Meanwhile, investors would also keep a close eye on German factory orders, French unemployment rate and initial jobless claims data from the US, set for release in a few hours.

 

GBP USD

The GBP traded tad lower against the USD and closed at 1.6463.

 

The service sector activity in the UK expanded at the fastest pace in 10 months in August, pointing to a continued strong recovery in the sector. The services PMI in the nation jumped to 60.5 in August, from a reading of 59.1 registered in the previous month. Markets had expected the index to decline to 58.5.

 

The pair is expected to find support at 1.6432, and a fall through could take it to the next support level of 1.6406. The pair is expected to find its first resistance at 1.6491, and a rise through could take it to the next resistance level of 1.6524.

 

Trading trends in the Pound today are expected to be determined by the BoE’s crucial interest rate decision, scheduled later today.

 

USDJPY

The USD weakened 0.27% against the JPY and closed at 104.84.

 

This morning, the Bank of Japan (BoJ), kept its upbeat view about the nation’s economy, though it admitted that the effects of the April sales tax hike still prevails.

 

The pair is expected to find support at 104.63, and a fall through could take it to the next support level of 104.39. The pair is expected to find its first resistance at 105.23, and a rise through could take it to the next resistance level of 105.58.

 

Going forward, investors would keep a close on the BoJ’s monthly survey as well as the leading economic and coincident indices data, scheduled to release tomorrow.

 

USDCHF

The USD declined 0.16% against the CHF and closed at 0.9176.

 

The pair is expected to find support at 0.9167, and a fall through could take it to the next support level of 0.9157. The pair is expected to find its first resistance at 0.9195, and a rise through could take it to the next resistance level of 0.9213.

 

Amid lack of economic releases from Switzerland today, market participants would await Q2 Swiss industrial production, slated to release tomorrow.

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Daily Outlook 5-09-2014

 

EUR USD

The EUR declined 1.63% against the USD and closed at 1.2936, following the ECB’s unexpected decision to cut its benchmark interest rates and loosen monetary policy even further.

 

The ECB lowered its main lending rate to 0.05%, a record low from 0.15% and announced a new economic stimulus program that would involve purchase of covered bonds and asset-backed securities in October.

 

The greenback received a boost from mostly healthy US economic data which continued to reinforce expectations that an interest rate hike may be implemented sooner-than-expected.

 

The pair is expected to find support at 1.2851, and a fall through could take it to the next support level of 1.2768. The pair is expected to find its first resistance at 1.3086, and a rise through could take it to the next resistance level of 1.3238.

 

Trading trends in the pair today are expected to be determined by the much critical 2Q GDP of the Euro-zone scheduled few hours from now, as well as unemployment rate and non-farm payrolls data from the US, slated to release later today

 

GBP USD

The GBP fell 0.87% against the USD and closed at 1.6320, after the BoE stuck to its current loose monetary policy, despite two policymakers voting for a rate hike at the last meeting.

 

The BoE’s Monetary Policy Committee kept the benchmark interest rates unchanged at a record low of 0.5%. It further maintained the total size of its bond portfolio untouched at £375 billion, following their September policy meeting.

 

The pair is expected to find support at 1.6243, and a fall through could take it to the next support level of 1.6176. The pair is expected to find its first resistance at 1.6422, and a rise through could take it to the next resistance level of 1.6534.

 

Going forward, investors would pay attention to inflation expectations from the BoE, scheduled to be released today.

 

USD/JPY

The USD strengthened 0.52% against the JPY and closed at 105.39 amid prospects of higher US interest rates after US economic data continued to be encouraging.

 

Early morning data indicated that, in Japan, foreign exchange reserves surplus expanded to $1278.0 billion in August, following a surplus of $1276.0 billion recorded in the previous month.

 

The pair is expected to find support at 104.82, and a fall through could take it to the next support level of 104.31. The pair is expected to find its first resistance at 105.79, and a rise through could take it to the next resistance level of 106.24.

 

Going forward, investors await the BoJ’s monthly survey, as well as the leading economic and coincident indices data, scheduled shortly.

 

USD/CHF

The USD rose 1.65% against the CHF and closed at 0.9327.

 

The pair is expected to find support at 0.922, and a fall through could take it to the next support level of 0.9116. The pair is expected to find its first resistance at 0.9382, and a rise through could take it to the next resistance level of 0.944.

 

Trading trends in the Swiss Franc today would be determined by Swiss Q2 industrial production, set for release in a few hours.

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Daily Outlook 9-09-2014

 

EUR / USD

The EUR declined 0.43% against the USD and closed at 1.2898, as the Sentix investor confidence in the Euro-region deteriorated in September.

 

Yesterday, the ECB Executive Board Member, Sabine Lautenschlager, supported the recent decision of the ECB to cut its key interest rate, stating that it was necessary to prevent the risks of too low inflation and boost economic growth in the common currency bloc.

 

Separately, the IMF Chief, Christine Lagarde, suggested that the weakening of the Euro against the USD in the past few days is a positive sign for “recovery” in the single-currency bloc.

 

In the US, consumer credit climbed by $26.0 billion in July, higher than market expectations for a rise of $17.0 billion and compared to $18.8 billion in the previous month.

 

The pair is expected to find support at 1.2853, and a fall through could take it to the next support level of 1.2824. The pair is expected to find its first resistance at 1.2934, and a rise through could take it to the next resistance level of 1.2986.

 

Amid a light economic calendar in the Euro-zone as well as in the US, trading trends in the pair today would be determined by global news.

GBP/USD

The GBP fell 0.73% against the USD and closed at 1.6095, as house prices in the UK rose less than expected in August, raising concerns over the health of the housing market in the nation.

 

Economic data released this morning indicated that like-for-like retail sales in the UK rebounded sharply, increasing 1.3%, on an annual basis in August, higher than market expectations for a rise of 0.3% and compared to a 0.3% fall recorded in the previous month.

 

The pair is expected to find support at 1.6029, and a fall through could take it to the next support level of 1.5977. The pair is expected to find its first resistance at 1.6180, and a rise through could take it to the next resistance level of 1.6279.

 

Trading trends in the Pound today would be determined by the UK’s industrial and manufacturing data, scheduled for release in a few hours. Meanwhile, investors would keep a close eye on the BoE Governor, Mark Carney’s speech, as well as the NIESR’s crucial GDP estimate for the UK, scheduled later today.

USD/JPY

The USD strengthened 0.75% against the JPY and closed at 106.00.

 

Earlier today, the minutes of the BoJ’s latest monetary policy held in August indicated that policymakers are optimistic about Japan’s economic recovery and expect inflation to rise gradually.

 

The pair is expected to find support at 105.4, and a fall through could take it to the next support level of 104.57. The pair is expected to find its first resistance at 106.67, and a rise through could take it to the next resistance level of 107.12.

 

Trading trends in the Yen today would be determined by Japan’s consumer confidence index as well as machine tool orders data, scheduled shortly.

 

USD CHF

The USD rose 0.45% against the CHF and closed at 0.9353. The Swiss Franc came under pressure, after retail sales in Switzerland fell unexpectedly at an annualized rate of 0.6% in July.

 

Meanwhile, the seasonally adjusted Swiss unemployment rate rose 3.2% in August, in line with market expectations. It follows a similar increase registered in the previous month.

 

The pair is expected to find support at 0.9329, and a fall through could take it to the next support level of 0.9289. The pair is expected to find its first resistance at 0.939, and a rise through could take it to the next resistance level of 0.9411.

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Daily Outlook 11-09-2014

EUR USD

EUR/USD gained 16 points to trade at 1.2955 as traders continued to interpret the ECB moves and its assistance to the Eurozone economy. There is virtually no Eurozone or US data today so trader are looking for reasons to trade. Last week’s August payrolls report brought a major disappointment with employment growth slowing to 142 000.

EUR/USD remains neutral for the moment. Some more consolidation would be seen above 1.2859 temporary low. But upside of recovery should be limited by 1.3159 resistance and bring fall resumption. Below 1.2859 will extend recent fall to 1.2755 key support level.

 

GBP/USD

The GBP rose 0.62% against the USD and closed at 1.6208, after the BoE Governor, Mark Carney, testified at the August Inflation Report Hearings, that the UK is moving towards a rate hike.

Yesterday, the BoE’s Monetary Policy Committee member, David miles, stated that he expects more slack in the UK labour market and further indicated that there is less immediate need for a rise in interest rates.

Earlier today, the RICS house price balance in the UK dropped to 40% in August, against anticipations that the house price balance to fall to 47%.

The pair is expected to find support at 1.6088, and a fall through could take it to the next support level of 1.5981. The pair is expected to find its first resistance at 1.6267, and a rise through could take it to the next resistance level of 1.6339.

 

USD JPY

The USD strengthened 0.59% against the JPY and closed at 106.83.

The BSI of large manufacturing industries in Japan registered a rise of 12.7%

The pair is expected to find support at 106.35, and a fall through could take it to the next support level of 105.96. The pair is expected to find its first resistance at 107.02, and a rise through could take it to the next resistance level of 107.29.

Going forward, investors look forward to the release of Japan’s industrial production data, scheduled tomorrow.

 

USD CHF

The USD rose 0.38% against the CHF and closed at 0.9365.

The pair is expected to find support at 0.9324, and a fall through could take it to the next support level of 0.9282. The pair is expected to find its first resistance at 0.9403, and a rise through could take it to the next resistance level of 0.9440.

[bhinder1713006680]

Daily Outlook 12-09-2014

 

EUR USD

The EUR traded tad lower against the USD and closed at 1.2923.

the Euro-zone’s biggest economy, registered a flat CPI data, in line with market expectations, on a monthly basis in August.

Yesterday, the ECB, in its monthly report, reported that the policymakers would keep a close eye on the risks surrounding the outlook for inflation in the Euro. Furthermore, it reiterated that geopolitical tensions in Eastern Europe continued to weigh on the region’s economic growth

In the US, the number of initial jobless claims unexpectedly advanced to a level of 315K in the week ended 06 September 2014, higher than market expectations

The pair is expected to find support at 1.2891, and a fall through could take it to the next support level of 1.2866. The pair is expected to find its first resistance at 1.2947, and a rise through could take it to the next resistance level of 1.2978.

GBP USD

The GBP rose 0.31% against the USD and closed at 1.6258, after a new poll on Wednesday revealed that people in support of Scotland’s independence from the UK were declining.

The pair is expected to find support at 1.6186, and a fall through could take it to the next support level of 1.614. The pair is expected to find its first resistance at 1.6279, and a rise through could take it to the next resistance level of 1.6326.

Amid a light economic calendar in the UK ahead in the week, the investors would shift their attention to BoE’s minutes of the latest policy meeting, slated to release in the next week.

USD JPY

The USD strengthened 0.21% against the JPY and closed at 107.05.

Data released this morning indicated that, Japanese capacity utilization fell 0.8%, on a monthly basis in July, compared to a drop of 3.3% in the prior month, while the industrial production rose 0.4%, from a 3.4% fall registered in the same period.

The pair is expected to find support at 106.88, and a fall through could take it to the next support level of 106.41. The pair is expected to find its first resistance at 107.58, and a rise through could take it to the next resistance level of 107.81.

Going forward, investors would pay attention to the BoJ Governor speech, scheduled shortly.

USD CHF

The USD traded marginally lower against the CHF and closed at 0.9360.

The pair is expected to find support at 0.9342, and a fall through could take it to the next support level of 0.9319. The pair is expected to find its first resistance at 0.9383, and a rise through could take it to the next resistance level of 0.9401.

Investors would keenly await SNB’s interest rate decision, which will be announced in the next week.

[bhinder1713006680]

Daily Outlook 16-09-2014

EURUSD

The EUR declined 0.18% against the USD and closed at 1.2938, after the Euro-zone’s trade surplus narrowed to €12.2 billion in July,

 

Separately, the Organization for Economic Co-operation and Development (OECD) cut its growth forecasts for major developed economies. Additionally, it urged the ECB to come up with more aggressive measures to get rid of deflation risks prevailing in the single currency region.

 

In the US, industrial production unexpectedly fell 0.1% in August, registering its first decline since January, while manufacturing production also registered an unexpected drop of 0.4% in the same month, thus showing signs of uneven improvement in the US economy.

 

The pair is expected to find support at 1.2911, and a fall through could take it to the next support level of 1.2879. The pair is expected to find its first resistance at 1.2972, and a rise through could take it to the next resistance level of 1.3001. Trading trends in the Euro today are expected to be determined by the ZEW’s economic survey for Germany as well as for Euro-zone as a whole, scheduled in a few hours.

GBPUSD

The GBP fell 0.17% against the USD and closed at 1.6230, as uncertainty continues to loom over the Scottish independence referendum.

 

The pair is expected to find support at 1.6216, and a fall through could take it to the next support level of 1.6194. The pair is expected to find its first resistance at 1.6264, and a rise through could take it to the next resistance level of 1.629. Going forward, investors would keep a close eye on Britain’s crucial consumer price index (CPI) data, set for release in a few hours.

USDJPY

the USD weakened 0.14% against the JPY and closed at 107.15.

 

Early morning data indicated that, Japanese Tokyo condominium sales slid 49.1% on an annual basis in August, compared to a drop of 20.4% registered in the previous month.

 

The pair is expected to find support at 106.94, and a fall through could take it to the next support level of 106.78. The pair is expected to find its first resistance at 107.31, and a rise through could take it to the next resistance level of 107.53. Going forward, investors would look forward to the BoJ Governor, Haruhiko Kuroda’s speech scheduled shortly.

USDCHF

the USD rose 0.21% against the CHF and closed at 0.9356.

 

In economic news, the producer and import price index in Switzerland unexpectedly dropped 0.2% in August.

 

The pair is expected to find support at 0.9327, and a fall through could take it to the next support level of 0.9308. The pair is expected to find its first resistance at 0.937, and a rise through could take it to the next resistance level of 0.9394. Amid lack of economic releases from Switzerland today, trading trends in the Swiss Franc would depend upon news across various economies.

[bhinder1713006680]

Daily Outlook 17-09-2014

EUR/USD

The EUR rose 0.12% against the USD and closed at 1.2953, after the ZEW economic sentiment index in Germany, Euro-zone’s biggest economy, dropped lesser than expected to 6.9 this month.

 

Meanwhile, the Euro-zone’s economic sentiment further deteriorated to 14.2 in September, lower than market expectations of a drop to a level of 21.3. In the US, the producer price index registered a rise of 1.8%, on an annual basis, in August, in line with market expectations and compared to a rise of 1.7% in the prior month.

 

The pair is expected to find support at 1.2919, and a fall through could take it to the next support level of 1.2883. The pair is expected to find its first resistance at 1.2993, and a rise through could take it to the next resistance level of 1.3031. Trading trends in the Euro today are expected to be determined by the Euro-zone’s CPI data, scheduled in a few hours. Meanwhile, investors would keep a close eye on inflation data from the US before the Fed’s interest rate decision, scheduled later in the day.

GBP USD

the GBP rose 0.17% against the USD and closed at 1.6257, after the consumer prices in the UK rebounded strongly in August and registered a rise of 0.4%.

 

Additionally, the DCLG house price index in the nation rose to a 7-year high, increasing 11.7% on an annual basis in July, beating market expectations for a gain of 10.6%.

 

The pair is expected to find support at 1.6178, and a fall through could take it to the next support level of 1.6094. The pair is expected to find its first resistance at 1.6329, and a rise through could take it to the next resistance level of 1.6396. Investors would keenly await BoE’s minutes of the latest policy meeting as well as voting pattern of the MPC members, scheduled in a few hours.

USD/JPY

The USD traded marginally higher against the JPY and closed at 107.17.

 

The BoJ Governor, Haruhiko Kuroda, indicated that the Japanese economy continues to recover moderately and further added that central bank will continue with its quantitative and qualitative easing measures to attend the price stability target of 2.0% as expected.

 

Former Ministry of Finance official, Eisuke Sakakibara, commented that the Japanese Yen will fall, as wages lag behind inflation on account of higher import costs. The pair is expected to find support at 106.88, and a fall through could take it to the next support level of 106.57. The pair is expected to find its first resistance at 107.42, and a rise through could take it to the next resistance level of 107.66.

USD/CHF

The USD declined 0.27% against the CHF and closed at 0.9331.

 

The pair is expected to find support at 0.9297, and a fall through could take it to the next support level of 0.9266. The pair is expected to find its first resistance at 0.9362, and a rise through could take it to the next resistance level of 0.9396. Trading trends in the Swiss Franc today would be determined by the ZEW survey data, scheduled in a few hours.