Sunday, May 19, 2013

EU Morning report – Draghi to meet German lawmakers

Wednesday, October 24th, 2012

 

The euro (EUR) is strengthening against most of its major counterparts, ahead of the European Central Bank (ECB) President meeting with the German lawmakers. Draghi is scheduled to have a closed-door meeting at the Deutsche Bundestag with the German lawmakers specifically regarding the OMT at 11:45 GMT, followed by a press conference at 14:00 GMT. Later today, the Federal Reserve will release its FOMC statement and fund rate decision at 18:15.

 

 

§ The Canadian dollar (CAD) reacted well to the decision by Bank of Canada (BoC) to leave its lending rate unchanged at 1.00%. Against the US dollar (USD), the loonie rose to 0.9975 but dived to 0.9900 following the BoC announcement. The BoC’s monetary policy report due today at 14:30 GMT and BoC Governor Carney’s press conference at 15:15 GMT will offer deeper insights into the decision.

§ OIL plunged from 88.56 to as low as 85.73 – a 3-month record, but managed to bounce back and close the day at 86.35 dollars barrel.

§ The British pound (GBP) produced a monthly low at 1.5912 versus the US dollar (USD) and the pair appears to be in a short-term downtrend.

Stay in tune throughout the day with foreign exchange bullets!

 

Outlook . Pivot Preference1 Sentiment2
. EURUSD 1.3010 SHORT @ 1.3010 44% of deals buy EUR
. USDJPY 79.65 LONG @ 79.65 59% of deals buy USD
. GBPUSD 1.5990 SHORT @ 1.5990 48% of deals buy GBP
. AUDUSD 1.0270 LONG @ 1.0270 59% of deals buy AUD
. GOLD 1714 SHORT @ 1714 71% of deals buy GOLD
. OIL 88.25 SHORT @ 88.25 85% of deals buy OIL
1 data generated by Trading Central™, 2 data obtained from easy-forex Inside Viewer™
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Calendar Currency Time (GMT) Event Forecast
. EUR 08:00 German IFO Business Climate in October 101.5
. USD 14:00 New Home Sales in September 0.385 mil
. OIL 14:30 Crude Oil Inventories 2 mil
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Movers Shakers
USDPLN
The US dollar (USD) recorded a monthly high at 3.1939 versus the Polish zloty (PLN) yesterday but did not manage to hold onto it. The pair retraced back to 3.1770 where a short-term support level appears to have been formed. A rebound off this level is very likely, but a break below it could pave the way for lower lows.
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Written by Easy-Forex

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