Daily market review for 22.10.2014

EUR/USD falls under influence of rumors that the ECB (The European Central Bank) is considering a possibility of buying a corporate debt. The asset purchase program is in full measure implemented and the ECB will report on the purchased assets once in a week. Generally EUR/USD is likely to continue to fall and reach 1.25 already in the nearest future. GBP/USD, just like EUR/USD, remains under selling pressure. Many investors consider a further decline, therefore an attention should be paid to the asset’s selling in a medium-term perspective. USD/JPY continues to stabilize. Gold consolidates after its active rise, but there are some tendencies for a further increase in value.

Market news

Important statistics for the UK and the USA are expected today. As to the Eurozone, there are no important statistics for today. As to the UK, we recommend to pay attention to the Monetary Policy Meeting Minutes, some strong movements are considered to happen during the event. As regards to the USA, we recommend to pay attention to the Core Consumer price index, the data is expected to be better than previous one and can positively affect the American dollar.

Our recommendations

EUR/USD remains under selling pressure. Moving averages stay horizontally, but there might be a further decrease. The important levels that prevent the rise are located at 1.2730 and 1.2782. The important level that prevents the fall is located at 1.2705. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GBP/USD remains under pressure. Moving averages stay up, which show a further increase. The important levels that prevent the rise are located at 1.6129 and 1.6177. The important level that prevents the fall is located at 1.6106. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

AUD/USD trades in a narrow range. Moving averages stay horizontally, but there might be a further increase. The important level that prevents the rise is located at 0.8798. The important levels that prevent the fall are located at 0.8780 and 0.8749. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

USD/JPY trades positively. Moving averages stay up, which show a further increase. The important level that prevents the rise is located at 107.09. The important levels that prevent the fall are located at 106.81 and 106.61. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GOLD consolidates after its active rise. Moving averages stay horizontally, but there might be a further increase. The important levels that prevent the rise are located at 1250 and 1255. The important level that prevents the fall is located at 1247. 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.