TRADING TIPS :
- Forex – Euro steady close to 9-month lows vs. dollar
- Forex – Sterling falls to 10-week lows vs. dollar
- Forex – Pound edges lower after UK jobs report, BoE ahead
EUR/USD was at 1.3371, not far from the nine-month lows of 1.3332 reached a week ago.The pair was likely to find support at 1.3332 and resistance at 1.3400.The euro fell to lows of 1.3335 on Tuesday after a report showed that investor confidence in Germany, the euro zone’s largest economy, slumped to the lowest level since December 2012 this month. The ZEW Centre for Economic Research reported that its index of German economic sentiment dropped to 8.6 this month, down from 27.1 in July, due to the impact of ongoing geopolitical tensions.
GBP/USD dipped 0.04% to 1.6803 from around 1.6819 ahead of the employment report.Cable was likely to find support at 1.6755, Tuesday’s low and a two-month trough and resistance at 1.6840.The Office of National Statistics reported that average earnings, excluding bonuses, rose by just 0.6% in the three months to June. Including bonuses, pay packets contracted by 0.2% during the quarter, the first decrease since 2009. Pay growth is continuing to lag inflation which came in at 1.9% in June. The Bank of England has indicated that concerns over weak wage growth are an important factor in the debate on when to start hiking borrowing costs.
1. Buy EUR/USD Above 1.3370: TG: 1.3390/1.3420 SL 1.3340
2. Sell EUR/USD Below 1.3355 TG: 1.3335/1.3305 SL 1.3385