Daily Forex Analysis
The Greenback was pushing a bit stronger yesterday after the FOMC decision to keep the Interest Rate unchanged at 5.25%. The positive effect was felt mostly against European currencies, in contrast to the JPY which had the opposite effect, and took the USD a bit lower. The Rate decision was widely expected to remain unchanged, and demonstrated the Fed’s opinion regarding the inflation saying: “readings on core inflation have improved modestly in recent months". The Feds also showed a bit of concern for futur... ( read more )
Archive for June, 2007
June 29, 2007 - Daily Forex Technical Analysis
Daily Forex Technical Analysis
EUR/USD
The pair is floating at the 1.3430/1.3470 range for a while now; these are the 62.8% and 76.4% Fibonacci levels of the 1.3534/1.3260 move. The daily studies are slightly bearish, and if a break beyond the 1.3400 level occurs, we might see a larger bearish move towards the 1.3360 level.
GBP/USD
The cable is in the midst of a very bullish trend and appears to be eyeing the 2.0100 levels again. The right direction seems to be up with slight caution due to overbought hourlies. Buying on dips might ... ( read more )
June 28, 2007 - Daily Forex Analysis
Daily Forex Analysis
USD
Yesterday provided us with a mix day of data which was published in the US and led to the strength of the USD while a reduction was expected. Data such as: Durable Goods Orders, Core Durable Goods Orders and Crude Oil Inventories. The USD has strengthened mainly due to the FOMC meeting and despite the larger than expected drop in durable goods orders in the month of May from 1.1% to -2.8%, but as it seems, the American federal reserve is not going to decrease rates in the short term the level of the inflation whi... ( read more )
June 28, 2007 - Daily Forex Technical Analysis
Daily Forex Technical Analysis
EUR/USD
On the 4 H chart we can see that the bullish trend which started yesterday is out of steam and a reversal is occurring at the moment. It is important to notice the neutral channel which is establishing over the last four days. Slow stochastic is due to cross at 90 and momentum at 99.9231 implying an upcoming bearish trend which will take this pair to test the 1.3429 Fibonacci (0%) level.
GBP/USD
Daily chart implies an upcoming reversal with RSI at 86 and Slow Stochastic crossing at 93. On t... ( read more )
June 27, 2007 - Daily Forex Analysis
Daily Forex Analysis
USD
Yesterday the USD continued on its bearish path but the decline seemed to be stabilizing ahead of the much anticipated 2-day Federal Reserve meeting which starts later on today. Traders have been profit taking ahead of the FOMC but were reluctant to drop the greenback much lower yesterday. The market seems to be holding steady ahead of the FOMC as disappointing US New Home Sales and Consumer Confidence data released yesterday only caused the dollar to dip briefly. New Home Sales released at 915 K, down from last ... ( read more )