Thursday, September 3, 2009

Worries ahead of the FOMC Minutes…


So far, fears are spread throughout the currencies market ahead of the FOMC Minutes and as the ADP Employment Change for August came in at -298 thousand, which was worse than the forecasted reading of -250 thousand, illustrating that the world's largest economy remains weak, encouraging traders accordingly to target the low-yielding currencies; the dollar and the yen.

As a result, the euro-dollar pair is slightly declining and is forecasted to plunge further according to the one-hour chart stochastic oscillator, having the Union currency so far trading around 1.4286 recording a high of 1.4294 and a low of 1.4255 with a resistance at 1.4289 and a support at 1.4255.

As for the pound-dollar pair, it is plunging as well and shows a strong tendency to fall to a further extent according to the four-hour and one-hour momentum indicators, having the royal pound trading at 1.6260 recording a high of 1.6298 and a low of 1.6112 along with a resistance at 1.6277 and a support at 1.6246.

Now, turning to the dollar-yen pair, it is starting to slightly climb to the upside due to strong technical movements, having the low-yielding Japanese yen trading so far around 92.21 recording a high of 1.6298 and a low of 1.6112, knowing that a resistance level could be witnessed at 92.37 and a support level detected at 91.96

No comments:

Post a Comment