Currency snapshot (major pairs)

Dollar index trading at 101.61 (-0.13%)

Strength meter (today so far) – Euro +0.09%, Franc +0.02%, Yen -0.02%, GBP +0.23%

Strength meter (since last week) – Euro -0.46%, Franc -0.03%, Yen -0.06%, GBP +0.28%

EUR/USD –

Trading at 1.062

Trend meter –

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

Support                      

• Long term – 1.01, Medium term – 1.032, Short term – 1.032

Resistance –

• Long term – 1.09, Medium term – 1.07, Short term – 1.07

Economic release today –

• Fourth-quarter employment change increase by 1.1 percent in the fourth quarter from a year ago.

Commentary –

• The focus for the euro is on the Dutch election today. Results will start appearing from midnight today.

GBP/USD –

Trading at 1.218

Trend meter –

• Long term – Sell, Medium term – Sell, Short term – range/sell

Support –

• Long term – 1.16, Medium term – 1.2, Short term – 1.2

Resistance –

• Long term – 1.32, Medium term – 1.27, Short term – 1.25

Economic release today –

• Unemployment rate declined to 4.7 percent.
• Earnings up 2.2 percent including bonus and up by 2.3 percent excluding it.

Commentary –

• The pound is focused on the upcoming Article 50 trigger. We expect the pound to reach parity in the longer run.

USD/JPY –                      

Trading at 114.7

Trend meter –

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

Support –

• Long term – 107, Medium term – 109, Short term – 112

Resistance –

• Long term – 121, Medium term – 119, Short term – 115

Economic release today –

• Industrial production in January up 3.7 percent y/y.

Commentary –

• The yen hovers around 115 support area ahead of FOMC. Active call – Yen likely to reach 120 as key support broken.

USD/CHF –        

Trading at 1.009

Trend meter –

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

Support –

• Long term – 0.95, Medium term – 0.95, Short term – 0.98

Resistance –

• Long term – 1.08, Medium term – 1.037, Short term – 1.037

Economic release today –

• NIL

Commentary –

• Franc is better performer than the euro.  Active call -Franc might decline to 1.08 per dollar. Target extended to 1.14