{"id":65243,"date":"2014-12-15T07:30:24","date_gmt":"2014-12-15T12:30:24","guid":{"rendered":"http:\/\/countingpips.com\/?p=65243"},"modified":"2014-12-15T07:32:04","modified_gmt":"2014-12-15T12:32:04","slug":"eurusd-stay-short-ahead-of-fomc-meeting","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2014\/12\/eurusd-stay-short-ahead-of-fomc-meeting\/","title":{"rendered":"EUR\/USD: Stay Short Ahead Of FOMC Meeting"},"content":{"rendered":"<div id=\"inves-3424460082\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">December 15, 2014<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p>Article by <a href=\"http:\/\/growthaces.com\">http:\/\/growthaces.com<\/a><\/p>\n<p><strong>GROWTHACES.COM Trading Positions<\/strong><\/p>\n<p><strong>EUR\/USD:<\/strong> short at 1.2450, target 1.2250, stop-loss 1.2530<\/p>\n<p><strong>USD\/CHF<\/strong>: long at 0.9650, target 0.9800, stop-loss 0.9590<\/p>\n<p><strong>EUR\/GBP:<\/strong> short at 0.7930, target 0.7800, stop-loss 0.7990<\/p>\n<p><strong>EUR\/CHF:<\/strong> long at 1.2025, target 1.2040, stop-loss 1.1995<\/p><div id=\"inves-560204123\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<p><strong>GBP\/JPY:<\/strong> long at 186.10, target 190.40, stop-loss 184.70<\/p>\n<p><strong>GROWTHACES.COM Pending Orders<\/strong><\/p>\n<p><strong>GBP\/USD: <\/strong>sell at 1.5730, if filled target 1.5570, stop-loss 1.5790<\/p>\n<p><strong>USD\/JPY:<\/strong> buy at 117.30, if filled target 119.80, stop-loss 116.50<\/p>\n<p><strong>USD\/CAD:<\/strong> buy at 1.1520, if filled target 1.1640, stop-loss 1.1480<\/p>\n<p><strong>AUD\/USD:<\/strong> sell at 0.8330, if filled target 0.8180, stop-loss 0.8400<\/p>\n<p><strong>AUD\/NZD: <\/strong>sell at 1.0750, if filled target 1.0550, stop-loss 1.0820<\/p>\n<p>We encourage you to visit our <a href=\"http:\/\/growthaces.com\/\" target=\"_blank\" rel=\"nofollow\">website<\/a> <a href=\"http:\/\/growthaces.com\/\" target=\"_blank\" rel=\"nofollow\">http:\/\/growthaces.com<\/a> and subscribe to our newsletter to receive trading positions summary for major pairs and crosses.<\/p>\n<p><strong>EUR\/USD: Stay Short Ahead Of FOMC Meeting <\/strong><\/p>\n<p>(we stay short)<\/p>\n<ul type=\"disc\">\n<li><strong>European Central Bank Governing Council member Ewald Nowotny<\/strong> said the ECB policymakers are not pre-committed to sovereign bond buying to boost euro zone growth and inflation and they would take into account the overall economic situation. He added that <strong>TLTRO would not have a big impact on the ECB\u2019s balance sheet.<\/strong><\/li>\n<li><strong>Bundesbank President Jens Weidmann<\/strong> said: <em>\u201cMonetary policy in the euro area, in my point of view, <strong>has not reached a situation where the advantages of a quantitative easing program outweigh its costs<\/strong>.\u201d<\/em> He stressed that the slump in oil prices is largely responsible for the drop in inflation, adding that the current situation is very different from a price reduction coming from a negative spiral in salaries. He also called on France to reduce its tax burden, reinforce competitiveness, cut labor costs and reduce the rigidity of the labor market.<\/li>\n<li><strong>University of Michigan\u2019s preliminary<\/strong> reading on the overall index on<strong> U.S. consumer sentiment for December came in at 93.8<\/strong> <strong>the highest reading since January 2007<\/strong> and above the median forecast of 89.5 and November reading of 88.8. Consumer sentiment rose on improved prospects for jobs, wages and on lower gasoline prices.<\/li>\n<li>The EUR\/USD fell slightly today on dovish Nowotny\u2019s comments and rising likelihood (after recent very good U.S. macroeconomic data) of more hawkish Fed\u2019s statement on Wednesday. <strong>Our trading strategy remains intact. We stay short for 1.2250. The nearest important support level is at 1.2384 (low December 12).<\/strong><\/li>\n<li><strong>The U.S. Federal Open Market Committee meets on Wednesday. <\/strong>The central bank reaffirmed that it would keep rates around zero for \u201ca considerable time\u201d in its previous statement. <strong>On Wednesday investors will be focused on these three words in the statement: \u201ca considerable time\u201d. If they are missing it will be read as a hawkish signal <\/strong>that the long-awaited return to more normal interest rates is coming sooner rather than later and will give the USD a boost.<\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" title=\"\" src=\"http:\/\/growthaces.com\/sites\/default\/files\/eurusd_15122014.png\" alt=\"EUR\/USD Daily Chart\" width=\"500\" height=\"350\" \/><\/p>\n<p>Significant technical analysis\u2019 levels:<\/p>\n<p>Resistance: 1.2524 (high Nov 27), 1.2507 (high Dec 1), 1.2496 (high Dec 11)<\/p>\n<p>Support: 1.2384 (low Dec 13), 1.2382 (10-dma), 1.2362 (low Dec 10)<\/p>\n<p><strong>USD\/JPY: High Volatility Makes Trading Risky<\/strong><\/p>\n<p>(outlook is still bullish, buy again at 117.30)<\/p>\n<ul type=\"disc\">\n<li>The governing Liberal Democratic Party and its junior partner in government, the Buddhist Komeito, will control two-thirds of the seats in the lower house. <strong>A big victory for Japanese Prime Minister Shinzo Abe\u2019s coalition in an election on Sunday was a boost for his reflationary economic policies, which are likely to weigh on the JPY in the long term<\/strong>.<\/li>\n<li>The Bank of Japan\u2019s quarterly Tankan survey showed that the <strong>headline index for big manufacturers\u2019 sentiment worsened by 1 point from three months earlier to plus 12<\/strong> in December. The median market forecast amounted to plus 13. The survey showed also that corporate spending plans were strong. Firms plan to increase capital spending by 8.9% in the current fiscal year ending in March 2015.<\/li>\n<li><strong>The USD\/JPY has been very volatile recently.<\/strong> The USD\/JPY rose to 119.13 in early Asian session today. Despite a big win of ruling coalition that is negative for the JPY in long term and worse-than-expected Tankan reading, the JPY appreciated soon and the USD\/JPY fell as low as 117.78, <strong>reaching the stop-loss of our short position at 117.80.<\/strong><\/li>\n<li><strong>In our opinion the medium-term outlook for the USD\/JPY is still bullish, but given the recent volatility, trading USD\/JPY is risky now. We have placed our buy order at 117.30.<\/strong><\/li>\n<\/ul>\n<p><img loading=\"lazy\" decoding=\"async\" title=\"\" src=\"http:\/\/growthaces.com\/sites\/default\/files\/usdjpy_15122014.png\" alt=\"USD\/JPY Daily Chart\" width=\"500\" height=\"350\" \/><\/p>\n<p>Significant technical analysis\u2019 levels:<\/p>\n<p>Resistance: 119.21 (high Dec 12), 199.43 (10-dma), 119.55 (high Dec 11)<\/p>\n<p>Support: 117.78 (session low Dec 15), 117.56 (30-dma), 117.45 (low Dec 11)<\/p>\n<p><a href=\"http:\/\/growthaces.com\/\" target=\"_blank\" rel=\"nofollow\">GrowthAces.com<\/a> is an independent macroeconomic research consultancy for traders. We offer you daily forex analysis with forex trading signals. The service covers forex forecasts and signals for following currencies: EUR, USD, GBP, JPY, CAD, CHF, AUD, NZD as well as emerging markets. Our subscribers should expect to receive: forex trading strategies, latest price changes, support and resistance levels, buy and sell forex signals and early heads-up about the potential fx trading opportunities. <a href=\"http:\/\/growthaces.com\/\" target=\"_blank\" rel=\"nofollow\">GrowthAces.com<\/a> offers also daily macroeconomic fundamental analysis that enables you to see fundamental changes on forex market. We provide in-depth analysis of economic indicators resulting from knowledge, experience, advanced statistics and cutting-edge quantitative tools.<\/p>\n<p>We encourage you to subscribe to our daily forex newsletter on <a href=\"http:\/\/growthaces.com\/\" target=\"_blank\" rel=\"nofollow\">http:\/\/growthaces.com<\/a> to get daily analysis for forex traders. We intend that our consultancy should help you make better decisions. At <a href=\"http:\/\/growthaces.com\/\" target=\"_blank\" rel=\"nofollow\">GrowthAces.com<\/a> we give our best to you \u2013 always greatest quality, usefulness and profitability.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Article by http:\/\/growthaces.com GROWTHACES.COM Trading Positions EUR\/USD: short at 1.2450, target 1.2250, stop-loss 1.2530 USD\/CHF: long at 0.9650, target 0.9800, stop-loss 0.9590 EUR\/GBP: short at 0.7930, target 0.7800, stop-loss 0.7990 EUR\/CHF: long at 1.2025, target 1.2040, stop-loss 1.1995 GBP\/JPY: long at 186.10, target 190.40, stop-loss 184.70 GROWTHACES.COM Pending Orders GBP\/USD: sell at 1.5730, if filled [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-65243","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/65243","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=65243"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/65243\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=65243"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=65243"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=65243"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}