Forecast for June 7, 2016
News forex traders today:
09.00 MSK. Germany: Industrial Production (previous value of -1.3% m / m forecast 0.8% m / m).
Forex. Forecast EUR / USD rate today 06/07/2016
Three reasons for traders to sell the euro:
First , the head of the regulator on the eve D. Yellen pointed out that one weak release on the Non-Farm can definitely put an end to the summer increase in the discount rate. Also noting that the expected strong growth in consumer spending, which indicates the growth of GDP.
Second , the yield on 10-year German government bonds in the credit market reduced in relation to the British and American, it reduces the attractiveness of investments in the assets of the Old World.
Third , the world's leading stock closed Monday growth, which for the euro as a funding currency negative factor. Today, there are data for May on industrial production in Germany, the leading indicators point to a mixed background. On the one hand, the growth index PMI manufacturing sector indicates an increase in business activity in the industry. On the other hand, yesterday came the weak data on industrial new orders for April, it can not be expected to yield strong data. Against this backdrop, even if today will release positive for Industrial Production, the short-term growth of the euro should be used to build short positions.
Trading recommendations for the euro today: Traders should sell the pair eur usd Sell on price increases to the levels of 1.1390 / 1.1430 and target at the level of 1.1290
Forex. GBP / USD exchange rate forecast for the pound dollar today 07.06.2016
Today, mixed tone is generated by the pound. On the one hand, a survey by YouGov pointed to the growing number of supporters Brexit that kratkosroke negative for the British. Of course, all of these surveys is the only reason for speculation and nothing more. But investors like such occasions, to increase the volatility of the market. The fundamental idea here is absolutely no: one week we served a positive poll, another negative.Perhaps next week we can see again the positive survey and then the pound will go up. Let us remember how much noise was about these polls before the referendum in Scotland. Then polls pointed to Scotland's secession from the United Kingdom, but in the end all remained in their places. On the other hand, the commodity market is growing bullish sentiment, which is a negative factor for the dollar. Oil eve trying to update the maximum this year, but stopped one step short of this milestone. While the market is bullish, and this factor is positive for the pound. Do not forget that the gap has not been closed on Monday and investors can correct this mistake today.Although certainly not necessary to speak about it, as background for today, as mentioned previously, is mixed.
Trading recommendations for the pound today: traders should not expect sideways trading in the range 1.4400 -1.4510.
Forex. USD / JPY forecast for the dollar, the yen today 06/07/2016
Two reasons for traders to wait growth rate USD / JPY.
The first , the yield differential of US and Japanese government bonds on the bond market expands, it increases the attractiveness of investment in assets States.
Second , there is a growing "risk appetite" of the world, which is a negative factor for the yen as a funding currency. In the previous review we noted that the fear index VIX is at its lowest level in six weeks, and in the near future we should expect growth of quotations on the US stock market. This growth has begun and, in my opinion, will continue today. According to S & P500, I expect the growth to the level of 2120 in the short term.So now there will be a correction to the fall, which began on May 30 from the level of 111.44.
Trading recommendations for USD / JPY today: Players on the dollar against the yen is worth buying a pair Buy on dips to levels of 107.30 / 107.00 and closed at 108.10 Take.
Analyst « FreshForex »