NEWS / Monetary Policy

Ranges continue with a slight Dollar bullish bias

by Marc Spaelti

EURUSD: Ranges are holding, the Euro bounced from 1.2730 to 1.2820, 1.2745 is today??™s strong support, key at 1.2700, allow for intra-day dips to 1.2660. First strong resistance 1.2885 and ongoing selling interests above 1.29 should limit the pairs rise to 1.2960 max, a higher close would be bullish.

GBPUSD: Only 130 points range, pair can continue up to strong resistance at 1.8815 or could also fall to 1.8470 max downside, we have a bias for the downside, try selling tops near 1.87 initial resistance, strong resistance higher at 1.8775. Minor support 1.8635, we can easily fall to 1.8590, more support at 1.8550 and 1.85ish.

USDJPY: The pair has tested the 113.40 key-level for a first time, before reversing the rise fully. Presently at 112.65 it seems to make very slow progress to the upside, we could try 113.40 again today and maybe spike to 113.85, the week should close underneath of the 113.40 key. To the downside, initial strong support 112.35, more at 112.00 and key unchanged at 111.55.

USDCHF: The slowly rising support has reached 1.2140 and is the point to watch to the downside, a breech risks 1.2000. A spike through 1.2260 was short-lived, the key resistance held, but this was the 2nd time it traded beyond this point this week, the next try will decisive, a weekly close above 1.23 may be seen tonight.

@08:30GMT UK Construction PMI May
@09:00GMT Euroland PPI April
@12:30GMT US Nonfarm Payroll May, Unemployment Rate
@14:00GMT US Factory Orders, Durable Goods April