Forex. Weather forecast on August 29, 2016
The main event today:
15.30 MSK. US: The main index of the cost of private consumption in July (previous value of 0.1% m / m forecast 0.1% m / m).
UK: Summer Bank Holiday.
Forex. The forecast of the currency pair EUR / USD EUR / USD 29.08.2016
Investors in the euro in tandem with the US currency today in the first half of trading on the currency market, it is necessary to wait thin trade against the background of low liquidity due to the bank holiday in Albion.
London Capital Forex currency market, and now the banks do not work. In this context, the euro / dollar may adjust upwards after strong sales on Friday after a speech Yellen, who confirmed the intention of the regulator to raise interest rates as the economy shows steady growth. Chairman of the FOMC did not seem to say anything new, but traders are seriously worried and arranged euros sales. What is the reason for such concern? Inflation expectations in the euro area remain very low, and even a single increase in the Fed's discount rate will cause a wave of strong sales euro. Market gov't rstvennyh bonds points to a downward trend on Monday: the differential yields of German and US 10-year bonds is greatly reduced, it increases the attractiveness of investing in US assets.
EUR / USD recommendation: the Forex traders on the euro with the dollar today at auction is to sell the pair EUR / USD on the growth of quotations of the Sell to 1.1220 / 1.1250 and take profit at the level of 1.1179.
Forex forecast the currency pair GBP / USD GBP / USD today 08/29/2016
GBP \ USD traders are two reasons for Sell.
First , players for the sterling forex with greenbacks in the second half of the trading States should wait for the release of positive expenditures on personal consumption in July, it will support the US currency. This indicator is closely correlated with GDP and strongly vliyat on the currency exchange market. Why is necessary to wait for a good report? This is indicated by the positive dynamics of the labor market: income growth and increased employment. Recall application for unemployment benefits are at 42 year low. The fact that consumer activity, it is possible to see from the housing and auto sales reports increases in America. Americans are willing to make expensive purchases, because they believe in "the future". Do not leave without attention and the seasonal factor: from May to September, consumer spending is traditionally grown in the United States.
Second , a strong bearish signal for investors in credit markets: the yield on 10-year British government bonds decreased in relation to the German and American, it reduces the attractiveness of investments in the United Kingdom assets.
GBP / USD recommendation : Trading the pound to the dollar today is worth to sell the pair GBP / USD on the Sell growth of quotations to 1.3150 / 1.3180 and take profit at the level of 1.3085.
Forex forecast the currency pair USD / JPY USD / JPY today 08/29/2016
Trading on Friday of last week became the main for the pair USD / JPY. First released in Japan a weak inflation report for July: the consumer price index for five consecutive months in negative territory. In July, the index decreased by 0.4% y / y. Such results do not leave the Bank of Japan no choice but to move to a new phase of easing monetary policy in the autumn. New measures traditionally contribute to the growth rate of the currency pair USD / JPY. Then, in the midst of trading in the US, D. Yellen spoke at an economic symposium in Jackson Hole, which expressed the need for a rate hike this year. As a result, we have divergent expectations on monetary policy two leading central banks. Thus, the Bank of Japan will lower the rate of the yen down, and the US Federal Reserve will raise the dollar up. Debt market immediately responded to these expectations in a natural way: the yield differential of US and Japanese 10-year government bonds on Friday expanded by 0.07%, which is three times higher than the daily average values. The pair rose by 1.26%, showed a maximum one-day rise since July 12th. Today, as noted above, in the second half of trading from the United States should not expect positive statistics, which further support the dollar.
USD / JPY recommendations : Traders pair Dollar Yen Tonight is worth buying a pair of USD / JPY at the Buy the growth of quotations in the area of 101.50 / 101.10 and take profit at the level of 102.25.
Analyst « FreshForex »