Currency market forecast for February 2, 2016, EUR / USD
News forex traders today:
12.30 MSK. United Kingdom: PMI index for the construction sector in January (the previous value of 57.8, forecast 57.5).
13.00 MSK. Eurozone: Unemployment rate for December (the previous value of 10.5%, 10.5% forecast).
The euro exchange rate against the dollar today, EUR / USD Forecast 02/02/2016
Today, the players on the euro in trading with the American forex worth waiting predominance "bearish" sentiment for two reasons.
First, the yield on 10-year German government bonds on the debt market is reduced to the British and American, it reduces the attractiveness of investing in the assets of the Old World, and is a negative for the stock of euro currency euro. It is said the yield differential of US and German securities at yesterday's auction reached a 3-week high.
Second, a moderately positive report on the manufacturing sector PMI in China indicates that market participants may continue this week to build up long positions in the world's leading stock exchanges.China PMI reached a local "bottom" and investors at a time can breathe easy. It is important that we are talking about short-term trends, as yesterday's ISM index of industrial sphere was again below 50%, the third consecutive month, suggesting the recession in the first economy of the world. When the first and second economy of the world show a slowdown - trouble is inevitable! Therefore, in the medium term is once again waiting for the flight of capital from the "risky" assets, and the peak of the world's leading stock indexes.
Recommendations for the euro dollar today 02/02/2016: Player euros greenbacks today at auction is to sell a couple Sell on price increases to the levels of 1.0920 / 1.0950 and the target in the area of 1.0865.
The pound against the dollar today GBP / USD forecast for 2/2/2016
Traders on sterling in the first half of trading on the Forex is necessary to pay for taking pictures on the PMI report for January the UK construction sector. The Bank of England yesterday published the statistics on the mortgage market: the number of mortgage approvals in December by 0.59% to 70.84 thous., While net mortgage lending in December was 3.2 bln. Pounds, which is 15.78% lower than in the previous month . GDP in the construction sector shrinking for two consecutive quarter, signaling that the first half of 2015 was the peak of the construction industry of Albion. Against this backdrop, today worth waiting for reducing PMI index from the previous month. But the dynamics of the debt market casts doubt on the fact that today, traders will sell sterling. The yield on 10-year British government bonds after two days of decline on Monday showed growth against the German and American securities. On Thursday released a quarterly report on inflation, which probably will not please investors revised estimates for inflation and GDP in the negative direction, and cause decrease in quotations of the British. Against this background, we can make the assumption that investors have decided to disperse the quotation currency of the United Kingdom as high as possible to open the sale of a pair Sell at attractive levels. The mixed background can not be determined only in the right direction today.
Recommendations for the pound dollar pair today 02/02/2016: Traders on the pound now worth waiting for trade sideways 1.4310 -1.4430.
The dollar against the yen in the forecast for today 02.02.2016 USD / JPY
Players dollar currency Japan are two reasons to build up long positions.
First, the yield on 10-year government bonds of Japan continues its peak for the yen is bearish factor.After the decision of the Bank of Japan to introduce negative interest rates, the credit markets have been expanding the differential yields on US and Japanese securities, this increases the attractiveness of investing in the assets of States and support the demand for greenbacks.
Second, further easing of monetary policy and the Bank of Japan Foundation in Tokyo, was seen to "cheers". Over the past two trading days, the Nikkei 225 rose by 4.83%. The financial services sector was the growth leader, adding 13.3%. This evolution indicates an increase in "risk appetite" among investors, which further put pressure on the Japanese yen as a funding currency.
Recommendations for the dollar yen pair today 02/02/2016: Players of the currency market the dollar against the yen is worth buying a couple of dips Buy on USDJPY to levels of 121.00 / 120.60 and 121.70 at Target.