MARKET UPDATE 19-09-13
Everyone was expecting big changes from the Fed today, but the statement has very few changes.
--There was no tapering
--There was no change in threshold for how low the unemployment rate will have to fall before the Fed will consider raising interest rates.
--There was no change in the Fed's tolerance for inflation.
--There was no hint about when tapering might begin, or when the bond buying would end completely.
Added by Usman Ali on September 19, 2013 at 6:20am — No Comments
EUR has broken 1.3510 resistance as FOMC did nothing to change the future policy and gave no signs of any change in near future. That made the dollar fell across the board and determined the direction of the pair now with targets around 1.3700 and above. All downside moves will be considered as corrections and will be used to enter LONG at a better price .
GOLD also has made a powerful move higher reaching 1368 and closed the day above the resistance 1350 which now serves as support…Continue
Added by Vladimir Mihaylov on September 19, 2013 at 6:13am — No Comments
*** Intra-Daily Trading Strategy: SELL Euro Dollar / US Dollar
Sell Target: 1.3510
Sell Stop: 1.3555
Enter New SELL on OPEN and exit SELL positions at Target price or at Stop price.
(NOTE: Adjust Stop Loss Price according to your trading risk.)
Do not reverse after exiting. This is a recommendation for INTRA-DAY TRADING…Continue
Added by Martin Kay on September 19, 2013 at 5:19am — No Comments
FOMC: No tapering and dovish rate…Continue
Added by Bagehot Tomas on September 19, 2013 at 4:30am — No Comments
I have presented and explained the expected market moves for the week 16-20 September during my Monday Asian session Live market analysis webinar time.
The recording of the same is available in the given below link explaining the forecast.
Added by Dr. Sivaraman on September 19, 2013 at 3:30am — No Comments
Added by muthusamy perisamy on September 19, 2013 at 2:44am — No Comments
Added by muthusamy perisamy on September 19, 2013 at 2:43am — No Comments
The key resistance level of 1.47** has constantly rejected higher prices on the daily chart. this indicates that higher prices are not accepted anymore. Price is expected to fall towards the dynamic support level as illustrated on the daily chart as traders are advised to take a sell position on this pair.
Added by Henry nnalue on September 18, 2013 at 11:07pm — No Comments
Added by Anna Coulling on September 18, 2013 at 6:03pm — No Comments
It’s no surprise that the FOMC gathering carries risk. And not a little. Not because a decision in the policy is likely to shoot some dramatic surprise, but because the FOMC somehow spread around and it’s “peekaboo” web has expanded to a lot of dimensions. With implications to be debated, sure.
For instance, think of taper timing, taper magnitude, 2014-2015 forecast changes and rechanges, shifts in threshold for unemployment and so on. Talk about how “a parents’ meeting” can have so…Continue
Added by Hedgeson on September 18, 2013 at 2:24pm — No Comments
Currently we are at 1.5968. We are looking for a bullish continuation to the R6 Wave @ 1.6056 which we anticipate will be the head of a head and shoulders reversal pattern. The average daily true range (ATR) for the pair currently is 93 pips.…Continue
TD Securities - "We think a tapering in the region of USD10bn is largely factored in and an outcome USD5 bn either side of that may not have that much impact. A dovish (very low or no taper) outcome would weigh on the USD but likely support risk assets and G-10 higher yielders. A more hawkish (USD15bn+) outcome would be broadly USD-supportive and likely push EUR/USD quickly back towards 1.30/1.31. A dovish taper would boost EUR/USD for a 1.3450 test."
Added by Francesc Riverola on September 18, 2013 at 12:05pm — No Comments
The week has arrived – to taper or not to taper seems no longer a question.
The market is now poised for a mini one, USD 10-15bn, to be announced on the 18th.
As hoped for, the USD tapered last week, the question is how much, if more, to go.
Now is the time to pull out the most important chart – the USD Treasury yields have been increasingly closely more correlated with the USD yields this year.
The market (spec futures) is net short Treasuries most in 3 years,…Continue
Added by Ron Schelling on September 18, 2013 at 11:12am — No Comments
EUR/USD is showing almost no movement in Wednesday trading, as the markets gear up for the FOMC Statement later in the day. In the European session, the pair continues to trade in the mid-1.33 range. Looking at economic releases, there are no Eurozone releases on Wednesday. In the US, today’s highlight is Building Permits. The markets are not expecting much change in the August release.
Here is a quick…Continue
Added by Yohay Elam on September 18, 2013 at 10:55am — No Comments
BMO Capital Markets - "Best trade if the FOMC tapers:
I continue to hear FX market participants mention Fed taper as a key factor for positioning in EUR/USD and USD/JPY. However, my observation of correlations over the past few months is that neither of those pairs has been highly correlated with the Septaper theme. I view the 5-year tenor of US interest rates as the best one for gauging temper expectations. As shown in Chart 3, the currency pairs with the tightest…
Added by Francesc Riverola on September 18, 2013 at 9:16am — No Comments
HSBC - "1. No Tapering
G10: SELL USDJPY; SELL USDCHF. Safe havens such as the CHF and JPY would likely be favoured in this environment.
EM: Sell rallies in INR and IDR. EM FX may enjoy an announcement effect rally on this outcome. However, any rally would likely be short-lived as the Fed has only delayed the inevitable.
2. Just Tapering
G10: BUY GBPUSD, BUY NZDUSD. Continuation would likely be the market play on this largely consensus…
Added by Francesc Riverola on September 18, 2013 at 8:04am — No Comments