Trading news

Euro/dollar could shift to 1.1140

Previous:

Expectations of a bottoming out yesterday came off in full. The GBP corrected before the Bank of England convened. Due to a rise in the euro/pound, the euro/dollar rose to 1.1119.

Market Expectations:

The euro continued to rise in Asia 17 points against the dollar. It would be better for the pair to consolidate than to try and rise during the Asian session. A fright may be caused due to a possible euro weakening against the dollar from trade opening.

The key event of today is the BoE meeting. If the Bank leaves the interest rate at 0.5%, the pound could strengthen against the dollar to 1.3480. The euro/pound cross will flip upside down, with the euro/dollar likely to fall. As per my forecast, I expect to see a rise in the pair to 1.1140. I’ve marked out two important levels as supports 1.1085 (LB at 11:00 EET) and 1.1066 (45 degrees).

Day’s News (EET):

  • 14:00, BoE interest rate decision (and votes for which) and asset purchasing program;
  • 15:30, Canadian primary housing market index for May. US June producer price index and unemployment benefit applications for the week ending 9th July;
  • 18:15, FOMC member Lockhart to speak;
  • 20:15, FOMC member George to speak.

Technical Analysis:

Intraday forecast: minimum: 1.1088 (current Asian), maximum: 1.1140, close: 1.1128.

 

Euro/dollar rate on the hourly. Source: TradingView

In European trades on Wednesday, the euro/dollar updated the minimum and restored 67 degrees to 1.1119 from 1.1041. The price is situated above the LB. The MA lines are set upwards. In line with my forecast, I reckon we’ll see a rise in the EURUSD to 1.1140, but I expect a break to 1.12.

The hourly indicators (AO, CCI and stochastic) aren’t set up right for a strengthening of the euro. This means that the flat on the pair could stretch all the way to 14:00 EET.

 

 

 

 

 

 

 

 

 

 

 

 

 

Alpari

Thursday, 14 Jul, 2016 / 8:23

Note: Company News is a promotional service of the Directory and the content isn't created by Finance Magnates.

Source : http://alpari.com/

Trading news

 

BoE clips pound’s wings, equities brace for turbulence

  Sterling capsizes after BoE opens door to negative [...]

Posted on Friday, 18 Sep, 2020 / 8:47 under

DAX remains in a range – DAX 30 Market Outlook – 18/09/2020

European equities continue to trade in a range between 13135 support and 13300 [...]

Posted on Friday, 18 Sep, 2020 / 8:35 under

OIL breached above the 200-daily SMA – US OIL Market Outlook – 18/09/2020

WTI Crude breached the 200 period SMA on the daily chart, hitting our long [...]

Posted on Friday, 18 Sep, 2020 / 8:20 under