Events that should pay attention today:
16:30 MSK. US: The main index of the cost of private consumption in April.
euro dollar exchange rate forex forecast for EURUSD 31.05.2019
Macroeconomic data from the United States for expenditure on private consumption will at the level of the median forecasts, as incomes of consumers now do not show strong growth. This factor will not be able to support the US currency. Capital inflows to emerging markets also have a positive impact on the value of the euro - we see how investors are buying the currency and stocks Turkey, Brazil, Russia. It is impossible to ignore the rumors on the new President of the ECB. Let me remind you that the powers of Mario Draghi 31 October 2019. Who is the main contender for the post of head of the ECB is J. Weidmann. German advocates for raising interest rates in the euro area and criticizes M. Draghi, who contributed to the strong depreciation of the euro. These rumors also play into the hands of customers, the single European currency.
EUR / USD recommendation: Buy 1.1110 / 1.1090, and take profit 1.1154
Pound Dollar GBPUSD forex forecast for today 31/05/2019
The main contender for the post of British prime minister stated the need to conduct BREXIT without an agreement with ES B. Johnson today insists on the so-called hard BREXIT. Investors fear such an outcome, since, in their view, this move a blow to economic growth. The decline in GDP will be in the first year, but then the economy adapts to new realities. However, traders do not want to look at what will be a year - they are interested in the current situation, and it is becoming increasingly grim. Against this background, we see a decrease in the yield on 10-year UK government bonds relative to their counterparts in the US and Germany.
GBPUSD recommendation: Sell 1.2638 / 1.2660, and take profit 1.2585
Dollar yen USDJPY Forex forecast for today 31/05/2019
The course of trading, as before, will depend on the dynamics of stock markets, which this currency pair has a strong correlation. This week we see capital inflows to emerging markets - are rising in the stock price of Brazil, Turkey, Russia. Now the turn of the developed markets, which are still in no hurry to show strong growth. Investors are waiting for comments J. Trump regarding trade negotiations, the US and China. Trump this week, many tweeted about R. Müller and his report, but about trade negotiations has not yet said anything. US President focuses his voters that Muller spent 40 million. $ Of budget funds due to the investigation Trump with Russia, but the money has been wasted. Since Muller closed his business and retired, now Trump can switch to the "trade talks".
USDJPY recommendation: Buy 108.80 / 108.60 and take profit 109.40