INTERNATIONAL CURRENCY BUZZ :
- Forex -GBP/USD trims gains after weak U.K. data
- Forex -Dollar regains some ground but remains vulnerable
- Forex- Yen weaker as Yellen repeats on track for gradual rate hikes
EUR/USD fell mildly on Thursday, as the minutes from the European Central Bank’s March meeting depicted a broadly unified Governing Council on the prospects of implementing comprehensive easing measures as a means for boosting economic growth throughout the euro area. The currency pair traded in a tight range between 1.1338 and 1.1454, before closing at 1.1377, down 0.0022 or 0.19%. The euro closed above 1.13 versus the dollar for the seventh consecutive session. Over the last month of trading, the euro has surged more than 3.3% against its American counterpart amid strong indications that the Federal Reserve and the ECB will avoid even sharper divergences at least for the time being.EUR/USD likely gained support at 1.0538, the low from December 3 and was met with resistance at 1.1496, the high from Oct. 15.
The pound trimmed gains against the U.S. dollar on Friday, after the release of downbeat U.K. economic reports, although sentiment on the greenback remained vulnerable due to the Federal Reserve’s cautious stance on rate hikes.GBP/USD pulled back from 1.4140, the session high, to hit 1.4098 during European morning trade, still up 0.32%.Cable was likely to find support at 1.4004, the low of April 6 and a one-month low and resistance at 1.4280, the high of April 5. The U.K. Office for National Statistics reported on Friday that manufacturing production declined by 1.1% in February, compared to expectations for a 0.2% fall. Manufacturing production rose by 0.5% in January, whose figure was revised from a previously estimated 0.7% gain. Year-on-year, manufacturing production dropped 1.8% in February, confounding expectations for a 0.7% fall.
- BUY GBP/USD ABOVE 1.4135 TARGET 1.4165 1.4195 SL 1.4105
- SELL GBP/USD BELOW 1.4100 TARGET 1.4080 1.4050 SL 1.4130