The main event today Forex:
12.30 MSK. UK: Industrial Production November (the previous value of -1.1% y / y; the forecast of 0.6% y / y).
18.30 MSK. US data on crude oil inventories from the Department of Energy in January (previous value -7,051M; 0,620M forecast).
Forex Forecast EUR / USD today 01/11/2017
In forex trading environment in the Euro as the currency of funding, will be demonstrating a weakness against the backdrop of increasing "appetite for risk".
Yesterday the world stock markets closed in the "green zone". In the States, the leaders of growth were shares of small-cap companies from the Russell 2000 index, which signals a strong demand for risky assets. corporate reporting season started on a positive note - 8 out of 10 companies quarterly profit exceeded the median forecast. Key Corporation will report later, nevertheless the first attempt did not go lumpy. I expect a continuation of positive momentum, as leading indicators PMI ISM for the manufacturing and services sectors in the fourth quarter showed strong growth, as indicated by both the increase in corporate profits and the growth of GDP.
EUR / USD recommendation: Sell 1,0550 / 1,0600 and take profit 1,0500.
Forex forecast GBP / USD today 11/01/2017
Forex traders on Wednesday in the currency market should not expect a decrease of the British for two reasons.
First, the industrial production report can reach the level of the median forecasts that will not support the British currency. Industrial PMI in November showed a decline, the volume of new factory orders declined - these are the two main reasons why we should not expect strong data. Indirectly, the weak release points and the volume of steel production, which declined by 15.4% compared with the previous month in November. It is impossible to ignore the drop in the volume of investment in the third quarter by 2.2% yoy, which is the highest level for the last three years. This figure indicates that the company is not interested in expanding production capacity, and therefore, do not expect the growth of the economy.
Second, the oil on the commodity market trading for two days in a row completes trades in the "red zone", which will put additional pressure on the pound. Today, we are waiting for reducing the prices of oil, with increased production volume in the United States.
GBP / USD recommendation: Sell 1,2150 / 1,2200 and take profit 1,2105.
Forex Forecast USD / JPY today 01/11/2017
Buy a pair, based on the growth of quotations due to steady demand for "risk assets". Since the Japanese yen - a funding currency №1 in carry trade operations, the growth of stock markets will have a positive impact on the quotes pair. Investors are buying US stocks as the corporate reporting season has started and many traders awaited the release of positive data. Two days in a row outsider US stock market is the utility sector. This trend indicates that investors prefer to get rid of the protective paper and shifted to riskier assets. Growth accelerated after the pair overcome the mark of 116.34 and in this regard, those traders who open a position in advance will be able to get a good profit.
USD / JPY recommendation: Buy 115,80 / 115,40 and take profit 117,00.
Aleksandr Goryachev analyst FreshForex