Mike Paterson’s Daily Forex Brief
Little of note going on out there at the moment and we look to be set back in ranges again, with a current bias for the down-side.
EURUSD is still holding on to the 1.3000 support but the rally to 1.3076 was hard graft with plenty of sellers along the way and has since dropped to 1.3020.
EURGBP has been up to 0.8162, the highest since April, (GBPEUR down to 1.2250), but peaked as EURUSD fell back overnight. The support comes in around 0.8120 and it seems to be comfortably holding that each time.
Moody’s downgraded five Spanish regions which undermined the currency but there’s little else out there to kick around.
Perhaps if 1.3000 gave way on EURUSD we might see a flurry of action but little sign of that for now. GBPUSD has had another look at 1.5990 support but it too has held up even though the rallies look weaker and weaker.
Overall the Pound is little changed but showing signs of being vulnerable to attack. Little in the way of data out today but this evening sees a speech from BOE Governor King.
Its Champions League football night again with both Man U and Chelsea in action but my interest of course will be firmly focussed on the only slightly less glamorous venue of Southend’s Roots Hall where the mighty Shrimpers will be taking on lowly Aldershot and hopefully getting back to winning ways.
Football rock ‘n roll or what?!!
Interbank Rates at 08:47 BST
Today’s Data: BST
09.30-UK – BBA Mortgage Approvals
18.00-UK – BOE Governor King speaks
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Mike ‘Oscar’ Paterson has been in the Forex trenches for nearly three decades working as a senior Spot trader in London at UBS, Chief Dealer FX at the State Bank of Victoria and in charge of Spot CHF at Credit Suisse with a daily turnover in excess of $1.5 billion. Mike now works as an independent consultant providing a fully bespoke service to the corporate and private sectors in physical FX delivery as well as guiding those who wish to improve their currency trading. Mike also presents seminars and workshops and writes for a number of publications.
To contact Mike please call +0044 (0) 1732 700383 or email firstname.lastname@example.org
The views expressed above are those of the author and should not be taken as investment advice. MSP Foreign Exchange Services will have no liability for, or to, any persons executing trades based on the content above.