EUR \ USD Forex EURUSD forecast for today 15.07.2019
Euro can not show a strong upward trend, despite expectations the US Federal Reserve lowering interest rates for the first time in the last ten years. The futures market in Chicago indicates the likelihood of the Fed lowering rates at the meetings on 31 July and 18 September. This is negative for the dollar, but the euro can not benefit from this process. Why? The following week, on July 25 will be a meeting of the ECB, where the central bank may also reiterate the need to reduce rates. Seven consecutive months, industrial production in the euro area shows a decline. To correct the negative trend it is necessary to increase the bond purchase program and lower interest rates. Mario Draghi understands this and is willing to go to such measures. Thus, a "vicious circle": both the central bank wants to lower interest rates and lower exchange rate of its currency. Who in the end will lose? This week will be the battle a draw and win a dollar next week.
EUR / USD recommendation: flat 1.1225 -1.1290
Pound \ usd forex forecast pair GBPUSD today 15.07.2019
The Bank of England is not yet ready to lower interest rates. Moreover, some members of the Federal Open Market Committee are considering the possibility of increasing interest rates in the autumn, if after BREXIT price increase will be fixed. Since the ECB and the US Federal Reserve set up investors to reduce bets that the pound now can show a good growth of quotations. Additional support will pound the oil market, as GBPUSD and #BRENT have a direct correlation. In the oil market we are now seeing a reduction of production capacity in the United States, Iran and Russia, which will positively affect the share prices of black gold.
GBP / USD recommendation: Buy 1.2552 / 1.2533, and take profit 1.2599
Dollar against the yen forex forecast pair USDJPY today 15.07.2019
Today, the dynamics of trading in USD / JPY pair will determine two important factors. First - trading on stock markets, where there is an upward trend. Investors are actively buying shares worldwide on expectations interest rate cuts by the US Fed and the ECB. Central banks will soon start to pump up the financial system with liquidity, which has a positive impact on the share price. Since USDJPY has good correlation with the index # SP500, then the pair is a positive signal. The second factor - a drop in yield of US securities, helping to strengthen the fire-sale of greenbacks and gold. For USDJPY is a negative signal. Today outweigh? Now it is difficult to understand. Alternatively, traders can open a Buy position at # SP500 with the aim of 3022.
USD / JPY recommendation: flat 107.60 -108.50
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