Daily market review for 23.10.2014

EUR/USD remains under strong selling pressure. There are more perspectives for a further fall. The American dollar continues to strengthen on all fronts. The US Dollar Index rises actively. Generally EUR/USD still remains under pressure, because of the negative sentiment among investors. There are rumors about implementing of a quarter-phase program of the quantitative easing, but there is no concrete news for now. GBP/USD, just like EUR/USD, remains under pressure. USD/JPY continues to strengthen, and there are some tendencies for a further increase in value. Gold continues to consolidate after its active rise.

Market news

Important statistics for the Eurozone, the UK and the USA are expected today. As to the Eurozone, we recommend to pay attention to the German Manufacturing Purchasing Manager’s Index (PMI), the data is expected to be worse than the previous one and can negatively impact the euro. As to the UK, we recommend to pay attention to the Core Retail Sales report, the forecast is negative and can affect the British pound. As regards to the USA, we recommend to pay attention to the Initial Jobless Claims, the results are expected to be better than the previous ones and can influence the American dollar.

Our recommendations

EUR/USD remains under strong selling pressure. Moving averages stay horizontally, but there might be a further decrease. The important levels that prevent the rise are located at 1.2648 and 1.2726. The important level that prevents the fall is located at 1.2631. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

GBP/USD trades negatively. Moving averages stay up, which show a further increase. The important level that prevents the rise is located at 1.6077. The important levels that prevent the fall are located at 1.6037 and 1.6010. We recommend to sell Put Options at the resistance levels and to buy Call Options at the support levels.

 

AUD/USD trades negatively. Moving averages stay horizontally, but there might be a further decrease. The important levels that prevent the rise are located at 0.8762 and 0.8814. The important level that prevents the fall is located at 0.8748. 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 horizontally, but there might be a further increase. The important level that prevents the rise is located at 107.34. The important levels that prevent the fall are located at 107.06 and 106.75. 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 up, which show a further increase. The important levels that prevent the rise are located at 1246 and 1249. The important level that prevents the fall is located at 1240. 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.