Currency snapshot (major pairs)

Dollar index trading at 95.25 (-0.12%)

Strength meter (today so far) – Euro +0.14%, Franc +0.06%, Yen +0.03%, GBP +0.10%

Strength meter (since last week) – Euro +0.09%, Franc -0.23%, Yen -0.13%, GBP -0.28%

EUR/USD –

Trading at 1.157

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 –

• NIL

      Commentary –

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

GBP/USD –

Trading at 1.295

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 –

• Halifax house price index up 3.3 percent y/y in July.

Commentary –

• The pound remains under pressure amid hawkish FOMC and dovish BoE. Active call-  short term sell at 1.413 targeting 1.375 (target reached); extended to 1.354 (target reached); extended to 1.25

USD/JPY –           

Trading at 111.4

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 –

• Labor cash earnings up 3.6 percent y/y in June.

Commentary –

• The yen is remains downbeat on weaker dollar.

USD/CHF –

Trading at 0.996

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 –

• Forex reserve rose 750 billion in June.

Commentary –

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