EUR/USD
During yesterday’s trading session, the currency pair made an unsuccessful attempt at breaching the critical support at 1.1280 and, at the time of writing, it is heading back towards the resistance level of 1.1330. The forecast is for the retracement to be limited by the resistance level of 1.1360 and for the bears to charge the mentioned support at 1.1280 again afterwards. A spike in volatility is possible in the last hours of the trading session when the U.S. Federal Reserve interest rate decision is to be announced (19:00 GMT).
USD/JPY
During the last couple of days, the currency pair has been trading in the narrow range of 113.48 – 114.21 and the forecast is for the Ninja to trade in this range during most of the day as investors will be awaiting the announcement of the U.S. Federal Reserve interest rate decision (19:00 GMT). A possible breach of the lower border of the range could lead to a decline towards the support zone at 113.00, while a breach of the upper border would let the bulls attack the resistance at 114.70.
GBP/USD
After the unsuccessful test of the support level of 1.3444, the Cable entered a corrective phase and yesterday breached the resistance at 1.3490. The expectations are for the currency pair to consolidate in the zone just above 1.3490 until the U.S. Federal Reserve interest rate decision is announced (19:00 GMT). After that, the pair would either launch another attack on the support at 1.3444 or deepen the corrective phase by attacking the resistance at 1.3571.
EURGERMANY40
The sell-off was halted at the level of 14840 and the German index managed to recover a minor part of its losses. At the time of writing, the index is consolidating in the zone at around 15100. The expectations are for the corrective phase to continue for a couple more days and for the bears to regain control and re-test the local bottom at 14840 afterwards. In the positive direction, the first significant resistance lies at 15520, which is expected to limit the corrective phase.
US30
During yesterday’s trading session, the U.S. blue-chip index managed to partially recover its losses from the past couple of days and, at the time of writing, is headed towards a test of the resistance level of 34541. In case the US30 manages to breach this resistance, then the recovery might continue towards the zone at around the psychological level of 35000. Alternatively, if the bears return to the market, then we could easily witness a new test of the local bottom at 33418. A spike in volatility is very likely in the last hours of the trading session when the U.S. Federal Reserve interest rate decision is to be announced (19:00 GMT).
