Euro/dollar: 1.1140 reached, now to 1.1176

Posted On 15 Jul 2016

Previous:

On Thursday the tone was set by the GBP after the BoE had convened. The Bank left interest rates unchanged at 0.5%. Their asset purchasing program was also left as was at 375 billion pounds. The pound strengthened throughout the market and then weakened since the MPC discussed the introduction of measures to stimulate the economy; measures expected to be introduced in August. The euro/dollar rose to 1.1164 and then stabilised at 1.1115. The 1.1140 calculated target was reached.

Market Expectations:

Today is Friday. There”s only Mark Carney”s speech which stands out today. The pound/dollar had shifted yesterday”s maximum from 1.3472 to 1.3475 by 7:27 EET. We could see a rise before the next BoE meeting. Yesterday”s pattern isn”t great for a euro strengthening, but if we take a look at how the pound”s been getting back to its feet, I”ll risk it and say we could be looking at a rise of the euro/dollar to 1.1176.

Day”s News (EET):

11:30, UK construction completed in May;
12:00, Eurozone definitive June CPI and May balance of trade;
15:00 Carney to speak;
15:30, US June CPI and retail sales, NY Fed”s index for business activity in manufacturing for July;
16:15, US industrial production for June;
16:30, CB”s May index for leading indicators in UK;
17:00, US preliminary consumer sentiment for July from Michigan university.

Technical Analysis:

Intraday forecast: minimum: 1.1102 (current Asian), maximum: 1.1176, close: 1.1150.

Euro/dollar rate on the hourly. Source: TradingView

The euro/dollar has jumped to 1.1164 after the BoE met. The rise stopped near 112 degrees. After a correction, the pair spent several hours at 1.1115. The euro is slightly up in Asia. I”ve risked in my forecast going for a revival to 1.1176. Next week from Tuesday onwards we can target 1.1230 and 1.13.

Source:: Euro/dollar: 1.1140 reached, now to 1.1176

About the Author

Alpari was founded in 1998 and is one of the world’s leading Forex brokers, offering clients a full package of the most modern financial instruments and technological solutions for online trading and investment. According to data from Finance Magnates, Alpari has been one of the largest Forex brokers in the world for a number of years. The trading turnover of the Alpari companies in 2014 was 2.5 trillion USD. Today Alpari is the world’s largest MetaTrader 4 Forex broker. The first half of 2015 saw company branches offering their services to over one million clients from over 150 countries in the world. Alpari clients have access to over 50 currency pairs and an extensive range of other instruments. The company offers the use of three trading platforms for computer and mobile applications for use with iOS and Android. Alpari is a member of international organizations such as The Financial Commission (Hong Kong) and CRFIN (Russia). Bonuses: the Alpari Bonus Program was launched in 2014 and allows clients to independently change their conditions for working on the financial market: reduce commission, save money on swaps, improve conversion rates and much more. Read More about Alpari HERE or you can visit their website direct by CLICKING HERE..