USD advanced today as investors sold safe-haven yens against USD as investors flee to the US T-bills on the EU debt fears, thus the daily forecast at 77.78 remained untapped today.
The British pound pared its last week losses after Chancellor George Osborne stated the UK will introduce the ICB Bank reforms to enhance the banking sector in the country. As a result, the daily forecast mean has been breached at 1.5532.
The shared European currency recovered after the Japanese government announced to trim 2012/13 national budget, thus EUR/JPY has hit the daily forecast consensus at 101.43.
The daily forecast at 1.3038 has been pierced from the upside after Fitch put the negative outlook to the French credit rating.
Following a contraction which should be halted by 0.9300 USD/CHF is likely to carry on moving upwards while encountering resistances at 0.9548 and 0.9572, as the long-term target is situated at 0.9776/84.
USD/JPY is facing a number of strong resistances located above, but nevertheless is expected to surge while breaking through 78.14/47, 79.08 and 80.00. Dips are to be limited by supports at 77.29, 77.27/13 and 76.22.
The pair has successfully bounced off 1.5443/20 and is currently recovering, although resistances situated at 1.5562 and 1.5744 might impede its further advancement. The weekly outlook thus remains neutral.
EUR/JPY currency couple is heading toward 100.77 at the moment. In case this support is violated, the next target lies at 99.92. Rallies are expected to be capped by resistances located at 103.04, 104.73 and 105.72.
Bearish movement of EUR/USD seems to be decelerating while the pair is approaching a support level at 1.2860. However, this level is unlikely to provide sufficient support and therefore is expected to be eventually breached and pave the way to reaching 1.2089.
USD/CHF is showing a bullish bias after the US economy posted 0.2% Core CPI, indicating the US economy is gaining strength, though the daily target at 0.9432 has not been reached yet.
The American dollar inched today as investors were selling yens against USD after the US economy posted 0.2 Core CPI versus expected 0.1%. As a result, the daily target at 77.80 has been crossed.
The British pound continued trading in a flat trend today on uncertainty over the UK economy and the prospects of the Eurozone, causing the market mean at 1.5496 to breach.
The single European currency is trading within 101.-102 price range on further uncertainty with EZ, though level 101.32 - the daily forecast consensus – was not tested today after the Euro pared intraday losses on the ECB chief statement.
The daily forecast mean at 1.3009 has been touched, though the pair recovered its intraday losses after Mario Draghi, the ECB chairman, stated the euro zone is on the right track.
Currency pair's bearish movement seems to be decelerating while approaching 1.2860. Test of this support might result in a near-term rally, although the longer-term study suggests continuation of a downtrend, down to 1.2089.
While being capped by resistances at 102.49, 103.53 and 104.76 EUR/JPY is heading toward 100.77. In case the latter level does not hold the bearish pressure, current dip might extend down to 100.00. The initial support, however, is presently at 101.10.
Since a support located at 1.5415 has managed to repel GBP/USD's attack, the pair is likely to recover for now. To maintain its upward direction the price will have to overcome resistance at 1.5746. Dips are not expected to wander far below 1.5415.
While being supported by a number of closely situated lines, at 77.29, 77.26/12 and 76.22, the currency pair is unlikely to show any weakness for the time being. It is anticipated to focus on resistances instead. The immediate one is at 78.27/29, while subsequent levels may be found at 78.18, 78.66 and 79.10.
USD/CHF has rebounded from 0.9550 and now is likely to contract down to 0.9280 which should be able to reignite bullish momentum, while additional support will be provided by 0.9176. The long-term goal lies at 0.9776/84, ahead of 0.9950.
The market participants' target at 0.9510 has been touched as the US economy posted less-than-expected number of jobless benefits claims and Empire State Manufacturing Index rose 3 times than 3.1 estimate (9.5), pointing at the US economy getting stronger.
The market participants' mean at 78.04 has been broken through as more investors purchased the American dollar versus Japanese yen on less-than-forecast unemployment claims in the US (366K versus an estimate of 389K).
The British pound pared earlier weekly losses on hopes European economic recovery is keeping pace. As a result, the daily market participants' target at 1.5467 has been successfully tested.
The pair mildly recovered after the publication of strong macroeconomic EU data, showing investors still hope the economic recovery in Europe is not losing steam; therefore the daily forecast consensus at 101.39 has been pierced.
The common European currency recovered today after the publication of strong German Manufacturing and Services PMI data and improved Flash Services and Manufacturing PMI overall in Europe. The daily forecast mean at 1.2992 has been hit.