Back to trend!

Yesterday, received US dollar a support from the Federal Open Market Committee monetary policy statements while they are holding interest rate between 0 and 0.25 percent as expected. Government Policy makers stated that are keeping the plan to buy 600 billion Treasuries but said that inflation is still on her way down together with increasing in unemployment and this is what is preventing interest rate hikes. From the other site we start to see a small increase in US Retail Sales Index (PPI), which showed upper correction above the market expectations yesterday. Additional to that, today we are expecting to receive results of US Consumer Price Index (CPI) that might show that interest rate change is not Science Fiction. However, all this can not indicate any important decisions in the near future and its seams like December trend is still in range, so stick to technical indicators.

Technical Levels

EUR/USD

Daily studies in neutral levels, Hourly’s are mixed at neutral levels as well. MACD pointing strong down, while RSI is close to his oversold levels. A range trade of 1.3180-1.3500.

USD/JPY

RSI close to overbought levels, suggesting a correction down. MACD pointing up but might start a foundation of a bearish cross soon. Sell on a failure of 84.40 resistance.


GBP/USD

Slow Stochastic is turning down from overbought levels. RSI starting to point up from oversold levels and MACD might start a bullish cross soon. All this supporting 1.5720 support-Buy on failure, sell on a break of at least 20 pips. 1.5840 resistance is back to the game.