Daily market review for 14.10.2014

The American dollar traded negatively in the beginning of the week. Many investors fear, that the Fed will not rise the interest rates in the nearest future. The pressure on the American dollar led to EUR/USD’s increase in value, it succeeded to strengthen higher than 1.27, which is a positive signal for buyers of the asset. If the USD continues to correct, a further rise up to 1.29 is possible. GBP/USD trades in a narrow range and remains under selling pressure. USD/JPY attempts to stabilize, but unsuccessfully. Gold continues to trade positively, but a further growth has slowed.

Market news

Important statistics for the Eurozone and the UK are expected today. As to the Eurozone, we recommend to pay attention to the Consumer price index, the data is expected to be worse than the previous one and can negatively impact the euro. Later this day, the German ZEW Economic Sentiment will be published, the forecast is negative and can affect the euro. As regards to the UK, the Consumer price index will be released, the figures are expected to be negative and can influence the British pound.

Our recommendations

EUR/USD trades positively. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 1.2766. The important levels that prevent the fall are located at 1.2713 and 1.2663. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GBP/USD is under pressure. Moving averages stay horizontally, but there might be a further decrease. The important levels that prevent the rise are located at 1.6078 and 1.6112. The important level that prevents the fall is located at 1.6050. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

AUD/USD trades positively. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 0.8811. The important levels that prevent the fall are located at 0.8736 and 0.8709. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

USD/JPY remains under pressure. Moving averages stay horizontally, but there might be a further increase. The important levels that prevent the rise are located at 107.29 and 107.56. The important level that prevents the fall is located at 106.75. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GOLD trades positively. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 1237. The important levels that prevent the fall are located at 1233 and 1227. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

The information and recommendations contained in this analytical document are published strictly for information purposes and are not considered as an offer to buy or sell the trading tools mentioned above and are not intended to motivate to perform certain transactions.