Forex Morning Briefing
$DXY, $EUR, $GBP, $JPY, $AUD
Commentary: Nothing new. PE
US Dollar (.DXY) Index at 94.64, the FOMC stressed that the US economy is growing strongly and so, a rate hike in September is almost certain. The Fed’s policy did not strengthen .DXY, it looks like it could strengthen towards 95.0-95.5 in her, as long as it holds above 94.
EUR (Euro) at 1.1654 wants to test of support at 1.1625 now. The possibility of a move to 1.145 looks possible in here.
USD/JPY at 111.65 is trading at support, it could move back to 112.5. A clear break of 111.5 sees a test to 110.5 next week.
EUR/JPY at 130.12 is trading near 1st support. If the EUR weakens to 1.16, then to 1.145 and USD/JPY is capped at 112.5-112.0, Then could see the pair break below 130-129 and head to 127 soon.
Sterling (GBP) 1.3106 trades quietly as markets await the BoE policy Thursday, where a rate hike is expected. A rate hike could strengthen GBP. But, the broader trend looks Bearish for a break below 1.3050. We wait, We watch.