Weather forecast on forex July 8, 2016
Trading forex news for today:
11:30 MSK. United Kingdom: Balance of visible trade for May (the previous value - £ 10526M; forecast - £ 10700M).
15.30 MSK. US unemployment rate for June (the previous value of 4.7%, forecast 4.8%).
15.30 MSK. USA: Change the number of people employed in non-farm payrolls in June (the previous value of 38K; 181K forecast).
15.30 MSK. US: Changes in average hourly wages for June (the previous value of 2.5% y / y; the forecast of 2.7% y / y).
Forex. Forecast EUR / USD rate today 07/08/2016
Traders are two reasons for Sell sales EUR / USD:
First , on the Non-Farm today is worth waiting for a moderately positive data that will support the quotation of the American currency. ISM employment components of the service sector and the manufacturing sector in June showed an increase, application for unemployment benefits fell to its lowest level in two months, and a report from ADP was better than the consensus forecast. Investors have recently looked quite pessimistic on the growth prospects of the US economy, and today a report on the labor market will force them to reconsider their views.
Second , the yield on 10-year government bonds in Germany in the credit market is still reduced to English and American, it reduces the attractiveness of investments in the assets of the Old World. Positive data from the United States will contribute to the strengthening of growth Treasuries yields.
EUR / USD recommendation: Players on EUR / USD today in currency trading is to sell a couple Sell on price increases to the levels of 1.1070 / 1.1120 and profit at 1.0990.
Forex. rate forecast GBP / USD GBP / USD today 07/08/2016
Over sterling clouds are gathering. Traders pound three reasons to sell the GBP.
First, today, as mentioned above from the United States should not expect a positive release on the labor market in June, it will support the demand for greenbacks.
Second, the yield differential of US and British government bonds expanded, which increases the attractiveness of investing in US assets.
Third, in the commodity market yesterday there was a strong drop in prices of black gold, traditionally a negative factor for the British. The price of oil has updated at least the past six weeks on the background of capital flight from risky assets, and the release of data on stocks of crude oil from the US Department of Energy forecasts the median worse.
GBP / USD recommendation: Trading the pound to the dollar in the currency market today is to sell the pair GBP / USD on the Sell growth rate to 1.2940 / 1.3030 and goals at the level of 1.2800 .
Forex. The forecast of the dollar against the yen USD / JPY today 08/07/2016
Today, the dollar yen pair is formed by a mixed background. On the one hand, the decline in "risk appetite" is positive for the yen as a funding currency. fear index VIX S & P 500 on the eve grew by 5.4%. Stock indices in North America have been under pressure due to lower energy sector securities. On the other hand, a moderately positive release on the US labor market is able to provide support to the US currency. The debt market is also on the side of the bulls: yield differential of 10-year US and Japanese government bonds expanded, which increases the attractiveness of investing in US assets.
USD / JPY recommendations: Market participants on the USD / JPY is now waiting for a side trade in the range of 100.00 -102.00.
Analyst « FreshForex »