Currency snapshot (major pairs)

Dollar index trading at 97.73 (-0.01%)

Strength meter (today so far) – Euro -0.03%, Franc -0.22%, Yen -0.29%, GBP +0.11%

Strength meter (since last week) – Euro -2.13%, Franc -2.10%, Yen -3.42%, GBP -0.99%

EUR/USD –

Trading at 1.09

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 –

• NIL

Commentary –

• The euro continuing its decline as dollar rises over Donald Trump’s victory. 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 1.239

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 –

• RICS House price balance for October came at 23 percent.

Commentary –

• The pound is the best performer among majors but still down a percent against the dollar. The pound has reached our target 1.2 area. We expect the pound to reach parity.

USD/JPY –                      

Trading at 106.8

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 –

• Machine tools orders declined by 8.9 percent in October from a year ago.

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 0.988

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 down in line with the 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.