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5 May 2015
EUR and GBP biased lower – InvestingBetter
FXStreet (Barcelona) - Alpesh Patel of InvestingBetter, maintains a negative bias on EUR/USD and GBP/USD, expecting Friday’s US payrolls data to be the trigger for the currencies to resume their downside.
Key Quotes
“The fundamental and technical momentum behind the recent rallies in the Euro and the Cable seem to have been exhausted and both currencies seem likely to retreat lower. All that is needed is a spark, a trigger for the US currency to attract investors’ attention once more.”
“We believe that the Non-Farm Payrolls report on Friday could act as a fundamental trigger, provided that the report would show significant rebound from last month’s disappointing figures.”
“Taking a look at the technical outlook of the major currency pairs, we find the Euro trading just above the 1.1100 barrier having come off its 1.1300 highs. The momentum in the Single currency seems to be turning to the downside as the Euro exits its upwards trading channel and the break below the 1.1100 support would be crucial for the descend to pick up pace.”
“The Cable on the other hand seems to have found some temporary support ahead of the 1.5100 area yesterday as it has settled there after the decline from the 1.5400 area on Friday. The bias on the UK currency pair already points lower and the break of the 1.5100 floor will clear the road for further losses.”
“The PMI reports scheduled for release today and tomorrow are expected to show weakness in the domestic growth and could send the Cable even lower with the 1.5000 level being the next area of focus.”
Key Quotes
“The fundamental and technical momentum behind the recent rallies in the Euro and the Cable seem to have been exhausted and both currencies seem likely to retreat lower. All that is needed is a spark, a trigger for the US currency to attract investors’ attention once more.”
“We believe that the Non-Farm Payrolls report on Friday could act as a fundamental trigger, provided that the report would show significant rebound from last month’s disappointing figures.”
“Taking a look at the technical outlook of the major currency pairs, we find the Euro trading just above the 1.1100 barrier having come off its 1.1300 highs. The momentum in the Single currency seems to be turning to the downside as the Euro exits its upwards trading channel and the break below the 1.1100 support would be crucial for the descend to pick up pace.”
“The Cable on the other hand seems to have found some temporary support ahead of the 1.5100 area yesterday as it has settled there after the decline from the 1.5400 area on Friday. The bias on the UK currency pair already points lower and the break of the 1.5100 floor will clear the road for further losses.”
“The PMI reports scheduled for release today and tomorrow are expected to show weakness in the domestic growth and could send the Cable even lower with the 1.5000 level being the next area of focus.”