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Old 06-06-2019, 06:14
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xtreamforex xtreamforex is offline
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Default Re: Daily Forex News

Technical Overview of EUR/GBP Currency Pair

EUR GBP

The EUR traded higher against the GBP and closed at 0.8841.

Overall the market may be in a range because of NFP scheduled for Friday.
The pair stalls at the weekly Pivot.
It has a major resistance at 0.9000 Level (Distribution level).
We can expect a selling pressure if the pair breaks the VPOC of current month (in confluence with the - 3 week Value area high).
We may target the ADR 5 day low as Take Profit zone.

No more big movements expected because of the NFP news scheduled for Friday
According to the Analysis, The pair is expected to find support at 0.88292, and a fall through could take it to the next support level of 0.88169. The pair is expected to find its first resistance at 0.88657, and a rise through could take it to the next resistance level of 0.88899.
EUR GBP Previous Day range was 36.5 and Current Day Range is 12.6.

Morning Briefing

ADP National Employment Report states that U.S. private employers added 27K jobs in May, This reading is well below the forecast, This gain is the most Smallest gain in the Past 9 years
Federal Reserve Chairman stated that FED considers to cut rates and soon.
Key Points in the above statements are:
1-ADP report says that the added jobs are less than expected and is the lowest increase in 9 years(This can be a negative news for USD).
2- FED considers to cut rates soon is a clear signal for weakness in the $$$.
So fundamentally staying Short on the $ may be more attractive than Long.

ECB will confirm economic risks remains to the downside and anticipate that ECB President Draghi will present a dovish tone to the monetary policy outlook; it means that we may have a Weaker EUR and its most strong competitor is JPY, so technically staying short on EUR pairs specially selling rallies EURJPY may be more handy.

YEN after strongly appreciating, there is a reduced risks of a reversal. Even if risk appetite gains interest and equity markets continue to north (STAY LONG ON JPY).
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