After yesterday's meeting of the ECB the Euro weakened against the US dollar significantly (more than 150 pips). I plan to open positions in the direction of the current trend at the moment (H1 time frame). I will sell after the breakthrough and retest of the local support level (1.0590). Potential movement - to 1.0540.
The Canadian dollar continued to strengthen. I will look for entry points for opening short positions today. If the price will overcome and fix below 1.3185, I will sell. Potential movement - to 1.3150-1.3225
The demand for the pound has grown significantly due to optimistic data on the consumer price index. In November, the figure has increased to 1.2%. I would buy GBP/USD after the breakthrough and retest of the 1.2720 level. Potential movement - to 1.2750.
I expect a correction USD/JPY in the currency pair within a few days. Entry points into the market will be looked at younger timeframes, after the breakthrough and retest of the local support levels. Potential movement - to 114.85.
There will be a long-awaited meeting of the US Federal Reserve. At 21.00 (GMT + 2: 00) some decision on key interest rate will be announced. Currently 91% of the market players believe that the US central bank will raise rates. I usually don’t open any transaction during such days. Just watch the market. I defined key support/resistance levels for myself, but trading will be continued only tomorrow. I wish you all good trades!
EUR/USD
support - 1.0605, 1.0540
resistance - 1.0650, 1.0710
USD/JPY
support - 114.85, 114.40
resistance - 115.45, 116.00
The US Federal Reserve raised its key interest rate to 0.50-0.75% yesterday. The regulator intends to raise rates x3 times during 2017. Demand for the dollar has grown considerably.
I plan to look for entry points in the current trend direction on EURUSD. I will sell after the breakthrough and retest of the local support level (1.0470). Potential movement - to 1.0425.
I’m going short on GBPUSD too. I highlighted 1.2515 local support level. I’ll sell GBPUSD after the price fixes below this mark. Potential movement - to 1.2450.
P.S. The US dollar has strengthened. What do you think on when we can expect a technical correction?
The pound weakened significantly against the US dollar yesterday. There may be a correction on GBP/USD now. At the same time, the US dollar continues to make strong pressure. I’ll trade from key level. I highlighted:
support - 1.2385
resistance 1.2450
If the price consolidates above the 1.2385 level, I will buy GBP/USD to the local resistance (1.2515).
In case of breakthrough and retest of the 1.2450 support, I’ll sell it to the 1.2350 mark.
The Canadian dollar hit a strong resistance level (1.3400). The currency managed to maintain this level. I expect corrective movement on USD/CAD. I’ll look for an entry point to a short after the breakthrough and retest of the 1.3320 mark. Potential movement - to 1.3280.
EUR/USD is sold aggressively at the moment. I’m going to trade in the the current trend direction. I will look for an entry point to a short after breakthrough and retest of the local support level (1.0370). Potential movement - to 1.0325.
