Currency snapshot (major pairs)

Dollar index trading at 91.95 (+0.05%)

Strength meter (today so far) – Euro -0.17%, Franc -0.30%, Yen -0.30%, GBP +0.80%

Strength meter (since last week) – Euro -0.10%, Franc -0.59%, Yen -0.63%, GBP +0.20%

EUR/USD –

Trading at 1.201

Trend meter –

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

Support          

• Long term – 1.12, Medium term – 1.14, Short term – 1.16

Resistance –

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

Economic release today –

• NIL

Commentary –

• The euro is going through a correction this week.

GBP/USD –

Trading at 1.32

Trend meter –

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

Support –

• Long term – 1.26, Medium term – 1.275, Short term – 1.293

Resistance –

• Long term – 1.345, Medium term – 1.32, Short term – 1.32 (testing)

Economic release today –

• Retail price up 3.9 percent y/y in August.
• PPI output up 3.4 percent y/y in August.
• PPI input up 7.6 percent y/y in August.
• CPI up 2.9 percent y/y.
• CPI up 2.7 percent y/y.
• HPI up 5.1 percent y/y in August.

Commentary –

• The pound is the best performer of the week.

USD/JPY –           

Trading at 108.5

Trend meter –

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

Support –

• Long term – 107, Medium term – 108.4, Short term – 108.4

Resistance –

• Long term – 116, Medium term – 114.2, Short term – 114.2

Economic release today –

• Domestic corporate goods price report will be released at 23:50 GMT, along with third quarter large manufacturer’s report.

Commentary –

• The yen is the worst performer of the week, as safe haven demand fades. Active call – Buy yen targeting 101

USD/CHF –

Trading at 0.949

Trend meter –

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

Support –

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

Resistance –

• Long term – 1.04, Medium term – 1.01, Short term – 0.987

Economic release today –

• NIL

Commentary –

• Franc is a much worse performer than the euro as safe haven demand fades. Active call – sell pair targeting 0.92

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