Currency snapshot (major pairs)

Dollar index trading at 100.19 (-0.01%)

Strength meter (today so far) – Euro -0.26%, Franc -0.24%, Yen -0.15%, GBP +0.3%

Strength meter (since last week) – Euro +0.80%, Franc -0.13%, Yen -0.64%, GBP -0.53%

EUR/USD –

Trading at 1.073

Trend meter –

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

Support                      

• Long term – 1.01, Medium term – 1.032, Short term – 1.054

Resistance –

• Long term – 1.13, Medium term – 1.11, Short term – 1.09

Economic release today –

• ECB extended the bond purchase program till December 2017 but reduced purchase pace to €60 billion.

Commentary –

• The euro treads water cautiously ahead of ECB press conference as QE got extended. 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 1.26

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 – 1.27, Short term – 1.27

Economic release today –

• NIL

Commentary –

• The Pound is trying to gain grounds after yesterday’s big selloffs on manufacturing data. We expect the pound to reach parity.

USD/JPY –                      

Trading at 114

Trend meter –

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

Support –

• Long term – 91, Medium term – 98, Short term – 105

Resistance –

• Long term – 119, Medium term – 115, Short term – 115

Economic release today –

• Eco watchers survey outlook improved to 49.1 and current improved to 48.6

Commentary –

• The yen is testing key support around 115 area. Further decline likely after correction.

USD/CHF –        

Trading at 1.01

Trend meter –

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

Support –

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

Resistance –

• Long term – 1.08, Medium term – 1.037, Short term – 1.037

Economic release today –

• NIL

Commentary –

• Franc is forming base around parity before weakening further. Franc might decline to 1.08 per dollar.