Currency snapshot (major pairs)

Dollar index trading at 98.98 (+0.22%)

Strength meter (today so far) – Euro -0.10%, Franc -0.54%, Yen -0.51%, GBP -0.82%

Strength meter (since last week) – Euro +0.14%, Franc -0.06%, Yen -0.34%, GBP +0.13%

EUR/USD –

Trading at 1.086

Trend meter –

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

Support                      

• Long term – 1.06, Medium term – 1.08, Short term – 1.08

Resistance –

• Long term – 1.16, Medium term – 1.143, Short term – 1.132

Economic release today –

• ECB President Mario Draghi is scheduled to speak at 15:30 GMT.

Commentary –

• The euro remains weak, still compared to other majors, a better performer against a strong dollar. Active call – Sell EUR/USD at 1.116 with stop loss at 1.15 and target at 1.01. stop loss revised to 1.13

GBP/USD –

Trading at 1.213

Trend meter –

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

Support –

• Long term – 1.16, Medium term – 1.2, Short term – 1.2

Resistance –

• Long term – 1.32, Medium term – 1.25, Short term – 1.24

Economic release today –

• BoE governor Mark Carney is scheduled to speak at 14:30 GMT.

Commentary –

• The pound is declining once more, worst performer of the day. The pound has reached our target 1.2 area. We expect the pound to reach parity.

USD/JPY –                      

Trading at 104.8

Trend meter –

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

Support –

• Long term – 91, Medium term – 98, Short term – 98

Resistance –

• Long term – 111, Medium term – 107, Short term – 107

Economic release today –

• Corporate service prices for August will be reported at 23:50 GMT.

Commentary –

• The yen is the worst performer of the week. Active call – Buy Yen @119.5 with stop loss around 123.8 and target at 114 and 110, 108.9 and 98.5. All targets reached, new target 90 added. Yen may retrace to 111 per dollar if BOJ intervenes.

USD/CHF –        

Trading at 0.999

Trend meter –

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

Support –

• Long term – 0.9, Medium term – 0.927, Short term – 0.95

Resistance –

• Long term – 1.037, Medium term – 1.01, Short term – 0.995

Economic release today –

• NIL

Commentary –

• Franc is performing much worse than euro. We expect Franc to strengthen against Dollar to as high as 0.86 area in the medium term. However, this call is under threat currently. We could soon revise the call.