EUR/USD (1.3562)
Trading range: 1.3490 – 1.3635
Trend: Neutral
For today the key economic events are US Consumer Confidence and Existing Home Sales. The temporary recovery of the dollar was after the speech of US Treasury Secretary Paulson who said that he is a big believer in a strong dollar. But the words would not support the very weak dollar and if today’s data continue to show slow down of US economy the dollar will continue to fall.
USD/JPY (118.46)
Trading range: 117.90 – 119.05
Trend: Neutral
The yen gain against the dollar in expectations later this week Bank of Japan to release forecast for stronger economic growth. If the forecast is positive there will be room for rate hike. The current key support is forming at 118.22 and the break below will help to the yen recovery but it will be necessary positive forecast for the economic growth.
Forecast by Angel Kolev, expert in ForexStrategy Team - For more forecasts and signals visit - www.forex-strategy.com
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