Daily FX Summary: October 14
Courtesy of Talking Forex
EUR/USD - EUR continued to advance against
the USD which came under renewed selling pressure for yet another day.
The advance by the pair saw highs printed just above 1.4100 and given
the recent ascent suggests that the pair may turn into consolidation
mode before staging another rally towards 1.4500.
Similarly to the EUR, GBP posted solid gains against the USD and touched
on an 8-month high before consolidating around 1.6000 level. The
Bullish trend is still in place for the pair however all this can change
since it is expected that should the Fed introduce QE at its next
meeting, the BoE will follow suit and announce a resumption to its asset
purchase program which was in a pause mode for some time now.
- The pair briefly fell below 81.00 and printed session low at 80.89
before rebounding to high 81.00 levels as the USD index moved off lows
in the latter half of the session. In spite of the downward trend and
even though there are signs that the pair will continue to make news
lows, majority of the investment community expects the BoJ and the MoF
to weaken the JPY once 80.00 levels are reached.
And now, FX heatmaps on trampolines: