Currency snapshot (major pairs)

Dollar index trading at 94.01 (+0.13%)

Strength meter (today so far) – Euro +0.02%, Franc +0.29%, Yen -1.06%, GBP +0.01%

Strength meter (since last week) – Euro +0.02%, Franc +0.29%, Yen -1.06%, GBP +0.01%

EUR/USD –

Trading at 1.14

Trend meter –

• Long term – Buy, Medium term – Range/Buy, Short term – Buy

Support

• Long term – 1.08, Medium term – 1.115, Short term – 1.125   

Resistance –

• Long term – 1.2, Medium term – 1.17, Short term – 1.17

Economic release today –

• Sentix investor confidence rose to 6.2 for May from 5.7 prior.

Commentary –

• Euro is consolidating around 1.14. Our longer term target for Euro to reach as high as 1.20 against Dollar.

GBP/USD –

Trading at 1.442

Trend meter –

• Long term – Buy, Medium term – Buy, Short term – Range/Sell

Support –

• Long term – 1.4, Medium term – 1.4, Short term – 1.427 

Resistance –

• Long term – 1.47, Medium term – 1.467, Short term – 1.467

Economic release today –

• Halifax house prices declined -0.8% in April, still up 9.2% y/y.

Commentary –

• Pound suffered relatively wild swings today.

USD/JPY –                      

Trading at 108.2

Trend meter –

• Long term – Sell, Medium term – Range/ Sell, Short term – Sell

Support –

• Long term – 98.5, Medium term – 102.8, Short term – 105

Resistance –

• Long term – 121, Medium term – 115, Short term – 111.2

Economic release today –

• Labour cash earnings rose 1.4% y/y in March.
• Consumer confidence remains subdued at 40.8

Commentary –

• Yen is worst performer today as risk affinity gained grounds. Active call – Buy Yen @119.5 with stop loss around 123.8 and target at 114 and 110, 108.9 and 98.5 First three target reached, new target 90 added.

USD/CHF –                                                                                         

Trading at 0.969

Trend meter –

• Long term – Buy, Medium term – Range, Short term – Range/Sell

Support –

• Long term – 0.905, Medium term – 0.927, Short term – 0.95

Resistance –

• Long term – 1.037, Medium term – 1.01, Short term – 0.98

Economic release today –

• CP up 0.3% in April, down -0.4% from a year back.

Commentary –

• Franc is the best performer today as deflation eased. We expect Franc to strengthen against Dollar to as high as 0.9 area.