The Euro came under pressure as US stocks slumped toward the 7000 level but failure to break this and extremely weak US GDP caused a lot of volatility and 1.2600 providing support. EUR/JPY came off the 125 level as traders took profits after very large gains during the week. January CPI was confirmed at 1.1% Y/Y and Unemployment rose to 8.2% Looking ahead, Eurozone PMI manufacturing forecast at 33.6 vs. 34.4. Eurozone Inflation Flash forecast at 1.0% Y/Y.Sterling although better supported the others currencies, cable succumbed to USD strength and tested 1.4150 before rallying into the US close. GFK Consumer Confidence improved to -35 vs. -39 forecast.
Technical Outlook:
EURO R1: 1.2690 S1:1.2510
R2: 1.2700 S2:1.2500
Chart pattern hints bear trend for the day. Trading range for the day is expected between 1.2520-1.2680 levels for the day. Currency is trading below the fast moving average giving outlook. Momentum indicators are pointing down supporting the outlook.
GBP R1: 1.4340 S1: 1. 4130
R2: 1.4350 S2: 1. 4100
Chart pattern signals downward trend for the day. Trading range is expected between 1.4150-1.4330 levels for the day. Currency is trading below the the moving average and Momentum and stochastic are seen trending down giving bearish signals for the day.
R2: 1.4350 S2: 1. 4100
Chart pattern signals downward trend for the day. Trading range is expected between 1.4150-1.4330 levels for the day. Currency is trading below the the moving average and Momentum and stochastic are seen trending down giving bearish signals for the day.
No comments:
Post a Comment