The
EURUSD broke higher during the course of the day on yesterday,
testing the 1.10 level after the Federal Reserve suggested that
perhaps the interest rates in the United States will remain low for a
longer amount of time than anticipated. Because of this, we believe
that the market will test the 1.10 level again, but we can not forget
this fact that there are major issues in the European Union right
now. With that, we are a bit hesitant to get involved until we get a
clearer signal one way or the other. As of now,it’s better to stay
on the sidelines.
GBP/USD
The
GBPUSD broke higher during the course of the session after initially
falling on yesterday, as we sliced through the 1.50 level. In fact,
the surge was massive and as a result we anticipate quite a bit of
volatility in this market. However, as the US closes, we are dropping
back below the 1.50 level, so right now it looks like the market is
still trying to figure out what the US dollar is getting ready to do.
With that, we recommend staying out of this market at the moment, as
the volatility is too much.
The
AUDUSD broke higher during the course of the session on yesterday,
testing the 0.79 level. However, we found enough resistance in that
general vicinity to withstand the bullish pressure. Alternately, if
we get some type of resistive candle in this general vicinity that we
are willing to sell. However, we do not have that as of now and we do
recognize that the 0.80 level above is a bit of a ceiling, so we are
waiting to see whether or not we get a sell signal again, and as a
result will remain patient.
USD/JPY
The USDJPY fell hard
during the course of the day on yesterday as the Federal Reserve
announced its monetary policy, suggesting that perhaps they will have
to be patient for longer than anticipated about rate increases. With
that, we think that there is still probably an uptrend in a fact, but
we may have to be patient and wait for a supportive candle in order
to start buying.
NZD/USD
The
NZDUSD broke higher during the course of the day on yesterday,
breaking above the 0.75 level at one point. Because of this, we need
to wait to see whether or not this area holds as resistance, and
gives us a nice selling opportunity. As of now, we do not have the
right resistive candle, so at this point of time we believe that this
market will continue to be very choppy and volatile. We have no
interest in buying, but certainly can’t sell. We will let the
market come down for a couple of days before placing trades.
