INTERNATIONAL CURRENCY BUZZ :
- Forex – Sterling pushes higher as Brexit worries ease
- Forex – Aussie holds steady, kiwi moves higher vs. greenback
- Forex – Yen gains further in Asia as Japan economic policy team to meet
EUR/USD is currently trading with a slight bullish bias. Yesterday, euro retraced to the upper side but is yet to reach our target reversal point at 1.1113. During this intraday, we expect a possible bullish price action towards 1.1113, where we’ll be looking to go short with our ideal target below 1.0935. This pair should be traded alongside GBP/USD, NZD/USD, AUD/USD and GBP/JPY. These pairs have a strong positive correlation of up to +0.89 and will have a similar price action during this intaday.
The pound pushed higher on Wednesday as market sentiment continued to stabilize after last week’s shock U.K. vote to exit the European Union.GBP/USD was up 0.43% at 1.3400, off the 31-year low of 1.3122 set on Monday, a level not seen since 1985. The two-day sell off in sterling seen on Friday and Monday was the largest in recent history. Sterling has tumbled amid fears that Brexit could hit investment in the U.K. economy, threaten London’s role as a global financial capital and usher in a period of slower global economic growth.Political uncertainty in Britain, where Prime Minister David Cameron resigned after the referendum, added to fears over the outlook for the economy.EU leaders were to continue to discuss the implications of Brexit at a summit in Brussels on Wednesday.
- BUY GBP/USD ABOVE 1.3422 TGT 1.3442 1.3472 SL 1.3392
- SELL GBP/USD BELOW 1.3350 TGT 1.3330 1.3300 SL 1.3380