Below you will find technical analysis of the top forex pairs, commodities, stocks and indices to watch in today’s trading.
The EUR/USD is still trading very high. Contrary to other currency pairs, the price of EUR/USD did not move back (after the jump caused by the Fed) and is fluctuating around the level of 1.3520. The Euro started the week with strengthening due to the fact that Merkel won the election in Germany. Today, at 7.30AM (GMT) the German Flash Manufacturing PMI will be released. The last result came out better-than-expected (52.0) and today it is expected to be slightly better (52.3). If the result will show positive news, the EUR/USD might go above the 1.3550 resistance level. At 1.00PM (GMT)it is planned that the ECB President Mario Draghi will give a speech about the economy at the quarterly hearing of the Committee on Economic and Monetary Affairs. The trend is slightly bullish with support at 1.3495 and resistance at 1.3580.
Trend: Slightly Up
The GBP/USD pair returned already 50% of the jump caused by the Fed shock during Thursday’s trading hours. During Friday the price again slightly dropped and finished the week slightly above 1.6000. This week the price started to increase mainly due to the German election. Today at 1.00PM (GMT) the U.S. Flash Manufacturing PMI will be released. Looking back on the last results we can see that the PMI came out mainly the same as predicted. Today the prediction is 54.2 and if the result shows higher value than 55.0 we might see the pair below 1.6000. The trend is now slightly bearish with support at 1.5970 and resistance at 1.6065.
Trend: Slightly Down
The USD/JPY already erased the drop made by the FOMC statement on Wednesday and on Friday the pair was traded sideways between the 99.20 and 99.65 level. During the Asia session the pair decreased to the 99.00 area. This movement is not caused by any fundamental reason as the Japanese market is staying closed due to the public holidays and the U.S. market is not open yet. The only economic data which are relevant for the pair might be the U.S. Flash Manufacturing PMI at 1.00PM (GMT). The trend is now slightly bearish but might reverse as the U.S. market opens with support at 98.9 and resistance at 99.65
Trend: Down - Up
The price of Gold dropped during Friday almost $40/ounce to $1,320.00/ounce. The price was dropping after a huge jump caused by the Fed announcement that the scaling back of QE will not happen now. The price decreased so much due to the fact that the China market was closed because of 2-days holidays and as China is the biggest market in terms of physical demand for Gold the price had open way down. As the China market opened today, the price added some profits. At 1.30PM (GMT) FOMC Member Dudley will speak at the Fordham University Graduate School of Business Administration which might affect the price. The trend is now slightly bullish with support 1,307 and resistance at 1,336.
Trend: Slightly Up
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