Forex Technical & Market Analysis: May 16 2013

Forex Technical & Market Analysis: May 16 2013

May 16 • Market Analysis • 2891 Views • Comments Off on Forex Technical & Market Analysis: May 16 2013

2013-05-16 03:05 GMT

BoE sees a modest and sustained recovery over the next three years

The quarterly Inflation Report released by the Bank of England on Wednesday suggests that UK inflation should rise above 3% in June and that it will possibly remain above the 2% target for the next two years. As for the GDP, it is “likely to pick up gradually over the next year or so, supported by past asset purchases, an easing in credit conditions aided by the Funding for Lending Scheme, and a continuing improvement in the global environment.”

The BoE MPC expects GDP growth of 0.3% in the first quarter of 2013. In the current quarter they see quarterly GDP expanding by 0.5%, while year-on-year GDP is projected to grow by 2.2% (compared with the previous forecast of 2%). Nevertheless, the MPC recognizes that the recovery is still “weak and uneven.” The report states that in the light of the growth and inflation forecasts more stimulus might be required. No rate hike should be carried out before 2016 however. Following the release of the report, BoE Governor Mervyn King presented it at a press conference. He pointed out that there are many obstacles on UK's road to recovery, the most important being the Eurozone crisis and rising unemployment. He stressed that UK policymakers should continue their efforts to boost the recovery as “this is no time to be complacent.”-FXstreet.com

FOREX ECONOMIC CALENDAR

2013-05-15 09:00 GMT

EMU. Consumer Price Index

2013-05-15 12:30 GMT

USA. Consumer Price Index

2013-05-15 14:00 GMT

USA. Philadelphia Fed Manufacturing Survey

2013-05-15 19:05 GMT

USA. FOMC Member Williams speech

FOREX NEWS

2013-05-15 19:24 GMT

EUR/USD seen at 1.2600 in 3 months – UBS

2013-05-15 18:55 GMT

GBP/JPY is unable to break above 156.00

2013-05-15 18:41 GMT

USD/CHF retests daily lows

2013-05-15 18:19 GMT

AUD/USD's recovery capped at 0.9920, back to 0.9870

Forex Technical Analysis  EURUSD

MARKET ANALYSIS – Intraday Analysis

Upwards scenario: Next on tap, resistance level at 1.2962 (R1). A break higher could open the door for an attack to next target at 1.2980 (R2) and final immediate resistance is seen at 1.2996 (R3). Downwards scenario: Further retracement formation on the medium-term might occur below the support level at 1.2939 (S1), break here is required to put focus on actual targets at 1.2921 (S2) and 1.2903 (S3).

Resistance Levels: 1.2962, 1.2980, 1.2996

Support Levels: 1.2939, 1.2921, 1.2903

Forex Technical Analysis  GBPUSD

Upwards scenario: Upside risk aversion is seen above the resistance at 1.6021 (R1). Any violation of that level would be considered as signal of possible uptrend formation towards to our targets at 1.6031 (R2) and 1.6042 (R3).Downwards scenario: Though, our medium-term outlook is bearish. A break through support level at 1.6005 (S1) is possible en route towards to our intraday targets at 1.5994 (S2) and 1.5983 (S3).

Resistance Levels: 1.6021, 1.6031, 1.6042

Support Levels: 1.6005, 1.5994, 1.5983

Forex Technical Analysis  USDJPY

Upwards scenario: The pair might face key resistive bastion at 82.22 (R1). A break above it might activate upside pressure and suggest the short-term targets at 82.30 (R2) and 82.39 (R3). Downwards scenario: On a slightly longer term focus has returned to the support at 82.00 (S1). If the market manages to overcome it, next hurdle lies at 81.91 (S2) and 81.82 (S3).

Resistance Levels: 82.22, 82.30, 82.39

Support Levels: 82.00, 81.91, 81.82

 

Comments are closed.

« »

close
Google+Google+Google+Google+Google+Google+