{"id":5327,"date":"2009-12-16T10:55:26","date_gmt":"2009-12-16T15:55:26","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=5327"},"modified":"2009-12-16T10:55:26","modified_gmt":"2009-12-16T15:55:26","slug":"eurusd-heads-higher-as-investors-await-fed","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/12\/16\/eurusd-heads-higher-as-investors-await-fed\/","title":{"rendered":"EUR\/USD Heads Higher as Investors Await Fed"},"content":{"rendered":"

By Fast Brokers <\/strong>– The EUR\/USD is strengthening a bit as investors await the Fed\u2019s monetary policy decision later today.\u00a0 EU Flash PMI printed positively mixed earlier in today\u2019s session, indicating the recovery in services and manufacturing remains on track.\u00a0 However, gains in the EUR\/USD are being tempered by weaker than expected EU CPI data.\u00a0 The Core CPI figure was particularly troubling since the 1% growth rate is the weakest we\u2019ve seen since the inception of the economic crisis.\u00a0 Hence, we aren\u2019t seeing the pickup in prices in the EU as we\u2019ve witnessed lately in the U.S. and UK, likely due to the EU\u2019s tighter monetary policy.\u00a0 That being said, the decline in EU CPI could discourage the ECB from removing its alternative liquidity measures too soon.\u00a0 Investors are sending the EUR\/GBP reeling lower in reaction to the combination of discouraging EU CPI and much better than expected UK CCC data.\u00a0 Regardless, all eyes remain on the Fed and upcoming U.S. CPI and Building Permits data.\u00a0 Should U.S. data print better than expected, we could witness an intraday reversal in the EUR\/USD.\u00a0 However, the Fed\u2019s monetary policy statement will likely be the highlight of the session since investors will be looking to see if the central bank has turned hawkish in reaction to recent positive unemployment and consumption data.\u00a0 If the Fed downplays recent data improvements and maintains its monetary policy stance as expected, investors may opt to buoy the EUR\/USD and keep the currency pair above October lows.<\/p>\n

Technically speaking, the EUR\/USD found support on its psychological 1.45 level as we anticipated.\u00a0 However, the currency pair is still trading well below our 2nd tier uptrend line, suggesting we could see a retracement towards our 1st tier uptrend line (off chart), which is sitting around 1.4415 right now, if conditions don\u2019t improve soon.\u00a0 The EUR\/USD also has a technical cushion in the form of October lows.\u00a0 As for the topside, the EUR\/USD faces multiple downtrend lines along with technical barriers in the form of 12\/14 and 12\/9 highs.<\/p>\n

Present Price: 1.4562<\/p>\n

Resistances: 1.4573, 1.4588, 1.4600, 1.4617, 1.4634, 1.4647<\/p>\n

Supports: 1.4556, 1.4528, 1.4514, 1.4501, 1.4483, 1.4467, 1.4444<\/p>\n

Psychological: 1.45, 1.40, 1.50, October Lows<\/p>\n

\"\"<\/a><\/p>\n

Market Commentary<\/strong><\/em> <\/span>provided by <\/span>Fast Brokers<\/strong><\/span><\/span>.<\/a><\/p>\n

Disclaimer:<\/strong> <\/span>FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regardedneither as an investment advice nor as a solicitation or an offer to sell\/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n

Risk Disclosure:<\/strong> <\/span>There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Fast Brokers – The EUR\/USD is strengthening a bit as investors await the Fed\u2019s monetary policy decision later today.\u00a0 EU Flash PMI printed positively mixed earlier in today\u2019s session, indicating the recovery in services and manufacturing remains on track.\u00a0 However, gains in the EUR\/USD are being tempered by weaker than expected EU CPI data.\u00a0 … <\/p>\n

Continue reading “EUR\/USD Heads Higher as Investors Await Fed”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-5327","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/5327","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=5327"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/5327\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=5327"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=5327"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=5327"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}