In 8 hours we will witness the perhaps most anticipated news event in Forex of 2015 so far. The FED will communicate their rate decision, accompanied by a written statement, economic projections and a press conference. The Dollar is fundamentally the strongest currency due to the expectation of a rate hike this year. This sets it apart from currencies like the...
BOE is the only other central bank talking about rate hike and so for me GBP is the best candidate to fight against the USD strength. Technically we have been range trading since 2009 and at the moment we are in the lower part of the range, furthermore my eyes see a good reversal pattern forming, not yet confirmed.
Stay short EurGbp or, if you prefear, long GBP! Since the macro economic data started to improve, the pressure on the exchange rate has became stronger. The beginning of rates normalization will make the UK's currency more expansive versus the Euromoney. At the same time, the chart seems to confirm the bearish view: It is unlikely (given also the macro-analysis)...
The ECB monetary policy press conference is almost here. I believe that Draghi will use this opportunity to push the Euro lower. The inflation rate doesn't look good at all. I believe that he will say nothing in the first part of his speech, creating some volatility and drag the euro down in his second part (or so I hope :) ). From the technical perspective the...