Currency snapshot (major pairs)

Dollar index trading at 94.53 (-0.14%)

Strength meter (today so far) – Euro +0.26%, Franc +0.09%, Yen -0.06%, GBP +0.17%

Strength meter (since last week) – Euro -0.32%, Franc -0.13%, Yen +0.25%, GBP -0.07%

EUR/USD –

Trading at 1.169

Trend meter –

• Long term – Buy, Medium term – Buy, Short term – Sell

Support          

• Long term – 1.12, Medium term – 1.145, Short term – 1.145

Resistance –

• Long term – 1.22, Medium term – 1.2, Short term – 1.18

Economic release today –

• Economic sentiment indicator rose to 112.1 in July.
• Industrial confidence declined to 5.8 in in July.
• Business climate declined to 1.29 in July.
• Consumer confidence came at -0.6 in July.
• Services sentiment rose to 15.3 in July.  

      Commentary –

• The euro is consolidating in a range of 350 pips since May. The consolidation continuing even after ECB. Active Call - Sell Euro at 1.218 with 1.17 as target; target revised lower to 1.095

GBP/USD –

Trading at 1.311

Trend meter –

• Long term – Sell, Medium term – Sell, Short term – Sell

Support –

• Long term – 1.24, Medium term – 1.27, Short term – 1.3

Resistance –

• Long term – 1.37 Medium term – 1.35, Short term – 1.33

Economic release today –

• Lending to individual rose by £5.4 billion in June.
• Mortgage approvals rose by 65,619.
• Money supply growth slowed to 1.7 percent y/y in June, down from 1.9 percent in May.

Commentary –

• The pound is up since last week as it finds support around 1.3 area. However, it struggling to find bullish strength. Active call-  short term sell at 1.413 targeting 1.375 (target reached); extended to 1.354 (target reached); extended to 1.3

USD/JPY –           

Trading at 111.1

Trend meter -

• Long term – Sell, Medium term – sell, Short term – Range/Buy

Support –

• Long term – 104.2, Medium term – 106.2, Short term – 109.2

Resistance –

• Long term – 114, Medium term – 111, Short term – 111

Economic release today –

• NIL

Commentary –

• The yen is again the best performer of the week on BoJ rate hike speculation. The focus is on BoJ rate decision tomorrow a reversal in monetary policy guidance expected.

USD/CHF –

Trading at 0.992

Trend meter –

• Long term – Buy, Medium term – Range/sell, Short term – Range/Buy

Support –

• Long term – 0.90, Medium term – 0.92, Short term – 0.95

Resistance –

• Long term – 1.03, Medium term – 1.00, Short term – 1.00

Economic release today –

• KOF leading indicator declined to 101.1 in July.

Commentary –

• Franc is slightly better performer than the euro this week.