Difficult Market Environment

Dear Traders,

The market environment is difficult for traders since global growth concerns and uncertainties about diverging monetary policies cloud the overall outlook. This uncertainty leads to risk-aversion,which can be seen in volatile but unsteady market swings. Both of our major pairs were lacking a clear direction yesterday and ended the trading day unchanged against the U.S. dollar. This meant that traders had to struggle with fake-outs and still have to be patient and wait for better market conditions.

Let’s have a look at the technical side:

EUR/USD

The euro was the worst performing currency recently and failed to provide profitable chances. On a monthly basis we see that the pair peaked at a high of 1.1460, but most of the period, it remained trading sideways between 1.1330 and 1.11. Those who are looking for long-term entries, should focus on the area above 1.1460/65 for buy orders and on the area below 1.10 for sell orders. For short-term investments, we still consider the 1.1280 level as an opportunity to buy the euro towards 1.1320/50. Short-entries, however, could be interesting below 1.1190 and below 1.1080. Remember that there is a key support at 1.1020.

Chart_EUR_USD_Daily_snapshot30.9.15

Today traders should watch the German Unemployment numbers, due for release at 7:55 GMT and the Eurozone CPI report, scheduled for release at 9:00 GMT.

GBP/USD

The British pound weakened eight consecutive trading days but found a slight support around 1.5130. The trend is our friend and we should bear in mind, that GBP may be vulnerable to further losses, but there could be a lower support area at around 1.5110 – 1.5090. If sterling declines significantly below 1.5130, we will focus on the 1.51-level, which could prompt the currency for a recovery. However, above 1.5210, chances are that sterling bulls drive the cable towards 1.5250 and 1.5285.

U.K. Gross Domestic Product is scheduled for release at 8:30 GMT today.

Chart_GBP_USD_4Hours_snapshot30.9.15

The most important piece of economic U.S. data will be the release of ADP’s employment change report (12:15 GMT). Market participants pay close attention to this report as it is considered to be a leading indicator for nonfarm payrolls.

Furthermore, FOMC members Yellen and Bullard are scheduled to speak on Community Banking today at 19:00 GMT.

Daily Forex signals:

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We wish you good trades and many pips!

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Euro with tailwind, sterling may have bottomed out

Dear Traders,

Yesterday’s trading has been relatively quiet. After the euro refrained from taking any dips below 1.1145, euro bulls finally got their chance to gain some pips after EUR/USD broke above 1.1215. The British pound, however, followed its downward trend against the U.S. dollar and fell toward its recent support at 1.5155.

Today, traders should focus on eurozone data, such as German Consumer Prices, due for release at 12:00 GMT and important U.S. data, scheduled for release at 14:00 GMT – Consumer Confidence. Furthermore, Bank of England Governor Carney is scheduled to speak in London at 19:40 GMT, which could impact the pound sterling.

EUR/USD

While we generally expect the euro to trade lower in the long-run, the pair is currently heading upwards because of less-dovish comments of ECB policymakers, downplaying the possibility of further QE. Nonetheless, today’s inflation data will be interesting to watch, as the report could have a significant impact on the currency. If the German CPI indicates further weakness, the euro could come under increasing pressure.

Next resistances are seen at 1.1275, 1.1320 and 1.1360.

Supports could be at 1.1220, 1.1185 and 1.1120.

GBP/USD

The pound showed further weakness versus the greenback despite expectations that the BoE will not be far behind the Federal Reserve in relation of raising interest rates. Speculations are that the BoE could start tightening by February 2016.

If GBP breaks below 1.5135 a next support could be at 1.51 and 1.5080.

We see a current resistance at 1.5210. Above 1.5220, GBP may head for another test of 1.5260 and 1.5285.

U.K. Mortgage Approvals and Net Consumer Credit are scheduled for release at 8:30 GMT, reports which could have only a limited impact on the currency.

Daily Forex signals:

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We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

Focus on NFP report

Dear Traders,

Last Friday was characterized by an ongoing demand for U.S. dollars. The pound sterling stopped its fall at 1.5135, from where it recovered slightly. Given the oversold situation in the GBP/USD, chances are that GBP may head for another test of 1.5260 and 1.5285. The EUR/USD has found a support at around 1.1125/10. In order to revive fresh bearish momentum, the pair would need to break below 1.1080. Above 1.1220, euro bulls could drive the pair towards 1.1270 and 1.1315, but traders should be careful with any buy-attempts, as the focus is on Friday’s Non-farm Payrolls report and profit taking is likely to occur ahead of the report before investors could jump back into dollar long positions.

After Yellen’s hawkish comments last Thursday, market participants will watch the NFP report closely. The market is pricing in a rate increase by the end of the year, so depending on the details of the payrolls report, an October tightening could be the case. On the other hand, if the report falls short of expectations, we could see a short rally in the EUR and GBP.

This week starts off with interesting U.S. data such as PCE indices, scheduled for release at 12:30 GMT followed by Pending Home Sales due for release at 14:00 GMT.

Important economic reports this week:

Tuesday – German Consumer Prices and U.S. Consumer Confidence

Wednesday – German Unemployment and Eurozone Consumer Price Index

Thursday – U.S. ISM Manufacturing Index

Friday – Non-Farm Payrolls

Moreover, central bank officials are scheduled to speak this week, including Yellen, WilliamsDudley and BoE governor Carney.

We wish you a good start to this week.

Daily Forex signals:

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We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

Yellen sends clear signal

Dear Traders,

While the British Pound tortured traders with fake-outs and choppy moves, the euro was heading for a test of the 1.13-area. The short recovery in the EUR/USD was still driven by Mario Draghi’s comments, who said on Wednesday that ECB policy makers will wait before discussing on a QE extension. After failing at $ 1.13, dollar bulls took control and drove the pair back below $ 1.12.

The U.S. dollar received support from Federal Reserve Chair Janet Yellen saying that the Fed is on track to raise rates this year. During her speech in Amherst, Massachusetts, she sent a clear signal, that Fed policy makers believe that a rate hike is appropriate this year, followed by a gradual pace of tightening thereafter.

What is important for today?

Revisions to second-quarter U.S. GDP (12:30 GMT), the U.S. PMI reports (13:45 GMT) and the University of Michigan Consumer Sentiment index (14:00 GMT) are the only second-tier data scheduled for release today.

If GDP figures meet the expectations, the impact on the dollar could be limited.

Given the hawkish outlook for the U.S. dollar in the near-term, we are generally looking for further gains in the USD.

Have a nice weekend.

Daily Forex signals:

View our daily signal alerts http://www.maimar.co/category/daily-signals/

Subscribe to our daily signal service http://www.maimar.co/signals/

We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

Dollar due for a correction?

Dear Traders,

Euro traders needed to be persistent and enter our long-entry several times, in order to gain the final profit. Before Draghi’s testimony in Brussels yesterday, euro bears tried to put pressure on the currency pair but finally failed when Draghi sounded slightly more optimistic. While he repeated the view that the European Central Bank is willing to bolster its bond-buying program if more stimulus is needed, he said that it is too early to judge whether expanding purchases would be appropriate. The ECB president said that more time is needed to determine whether risks to the economic outlook warrant a step-up in the ECB’s stimulus.

The euro reacted positively on his comments and tested the 1.12-level. Whether we will see more upward momentum, remains to be seen. With a break above 1.1220 we see chances that the euro could climb to 1.13.

The British Pound knows currently only one direction: Downwards. The support at 1.5220 proved to be stable for the time being. Bear in mind, that below 1.5220 there is no support until 1.5165. Above 1.5265 we may see a correction until 1.53 and 1.5340.

Today, the most important piece of economic data is coming from the USA with Durable Goods Orders, scheduled for release at 12:30 GMT. Furthermore, New Home Sales at 14:00 GMT and the speech of Fed-chair Janet Yellen at 21:00 GMT could have an impact on the U.S. dollar.

Interesting data from the eurozone and the U.K.:

8:00 EUR German IFO Index

8:30 UK Loans for House purchase

Daily Forex signals:

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We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

U.S. Dollar Advanced Amid Optimistic Fed Comments

Dear Traders,

The U.S. Dollar traded higher against the euro and British pound amid optimistic comments from Federal Reserve policy makers. Fed officials view the U.S. economy as strong enough to withstand a rate hike in 2015. Fed Bank of Atlanta President Lockhart said yesterday he remains confident the central bank will tighten this year and he indicated that the September FOMC decision was a close call.

Investors were relieved and drove the greenback higher, even though yesterday’s Existing Home Sales report was below expectations.

GBP/USD

Sterling declined against the greenback but stopped its slide slightly above 1.5480. Today’s focus will be on U.K. Public Sector Finances, scheduled for release at 8:30 GMT. Borrowing is expected to show a rise in August, increasing the chances for an upward move towards 1.5570 and 1.5625.

The only piece of eurozone data will be Consumer Confidence, scheduled for release at 14:00 GMT. Prior to that, U.S. House Price Index is due for release at 13:00 GMT, but the impact on the currencies could be limited.

Daily Forex signals:

View our daily signal alerts http://www.maimar.co/category/daily-signals/

Subscribe to our daily signal service http://www.maimar.co/signals/

We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

Fed delays Rate Hike – No appetite for U.S. dollars

Dear Traders,

The Federal Reserve delayed its rate hike and left interest rates unchanged. Reasons for the Fed’s decision were recent global economic and financial developments which may put further downward pressure on inflation in the near term. Nevertheless, the committee’s outlook has not changed and they repeated to raise rates when they see further improvement in the labor market and stronger inflation.

The question of whether the Fed’s move was right or wrong continues to be controversial.

Those who have hoped for a rate hike were disappointed and sold U.S. dollar as an initial reaction to the decision. We went long and gained a nice profit of 100 pips in the EUR/USD and 91 pips in the GBP/USD. So all in all a profitable trading day even though we had to record some losing trades during the day, but with the right risk-management these losses have been less serious.

There are no important economic reports scheduled for release today. It could therefore be a quiet trading day.

We wish you a beautiful weekend!

Daily Forex signals:

View our daily signal alerts http://www.maimar.co/category/daily-signals/

Subscribe to our daily signal service http://www.maimar.co/signals/

We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

Decreased speculation on Fed Rate Hike

Dear Traders,

Chances of a Federal Reserve rate hike have fallen to 30 percent on the back of weaker U.S. data and China’s  slowdown, essentially complicating the Fed’s decision tomorrow. The latest U.S. reports missed expectations and fueled speculation that the central bank could delay the first rate hike.

The euro bounced off its current support area at 1.1255 and is currently heading for a reconquest of the 1.13-mark. The British Pound declined on weak U.K. inflation data, indicating that an early 2016 BoE rate increase is less likely.

Sterling traders should keep an eye on today’s U.K. labor market data, scheduled for release at 8:30 GMT.

Technically, chances are that GBP could experience a small relief rally towards 1.5440.

GBP/USD

The next resistance zone will be at 1.54. If wee see a sustained break above this level, next bullish targets could be at 1.5440 and 1.5470. With a break below 1.5330, on the other hand, we expect bearish momentum to increase.

Chart_GBP_USD_4Hours_snapshot16.9.15

Focus on Consumer Prices

Consumer Price Indices from the Eurozone and the U.S. are scheduled for release today. Traders should pay attention to these reports, as any surprises could trigger volatile moves.

9:00 EUR Eurozone CPI

12:30 USA CPI

Daily Forex signals:

View our daily signal alerts http://www.maimar.co/category/daily-signals/

Subscribe to our daily signal service http://www.maimar.co/signals/

We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

Will today’s economic data trigger big moves?

Dear Traders,

Market participants are very cautious ahead of the Fed decision on Thursday. Price fluctuations have been muted as a result. Nonetheless short-traders were able to gain a small profit by yesterday’s decline in the EUR and GBP.

Today, we will pay closer attention to important economic data such as U.K. Consumer Prices, the German ZEW survey and U.S. Retail Sales. Each report could have a more or less significant impact on the currency pairs, but since the market is dominated by uncertainty and risk-aversion, the reaction to these reports could result in unsteady and choppy swings.

EUR/USD

Technically we see the next major resistance zone at around 1.14. Euro traders might look for an upside move until 1.14/ 1.1420. However, with a significant break below 1.1250, we expect the euro to depreciate towards 1.1180 and 1.11.

Chart_EUR_USD_4Hours_snapshot15.9.15

 

Important economic data:

8:30 UK CPI

9:00 EUR German ZEW Survey

12:30 USA Advance Retail Sales

(timezone: GMT)

Daily Forex signals:

View our daily signal alerts http://www.maimar.co/category/daily-signals/

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We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co

 

 

 

Relief Rally ahead of next week’s Fed decision

Dear Traders,

The Bank of England’s minutes sounded, against all odds, less dovish even though only 1 MPC member voted to raise rates. The pound advanced as a result and broke easily above the 1.54-mark. BoE policymakers said global developments haven’t shaken their conviction that the time for a rate increase is approaching. However, the BoE is likely to wait for the Fed to do the first step and see how the market reacts.

Sterling bulls had several profitable chances to gain profits. Today, traders should keep an eye on the BoE Inflation expectations, scheduled for release at 8:30 GMT. GBP marked a current resistance at 1.5475 and bulls could be looking for prices above that level in order to drive GBP for a test of 1.55.

Euro traders had to be patient and must unfortunately record further losses before the euro finally showed some upward momentum towards $ 1.13. Given the uncertainty going into next week’s Federal Reserve decision, volatility should be on the rise, leading to a possible relief rally towards 1.14 in the EUR/USD.

Important economic data for today:

12:30 USA PPI reports

14:00 USA Michigan Confidence 

Have a beautiful weekend!

Daily Forex signals:

View our daily signal alerts http://www.maimar.co/category/daily-signals/

Subscribe to our daily signal service http://www.maimar.co/signals/

We wish you good trades and many pips!

Any and all liability of the author is excluded.

Copyright © All Rights Reserved 2015 Maimar-FX.

www.maimar.co