Thursday, September 17, 2015

EUR/USD forecast: all eyes on the FOMC – Commerzbank and OCBC

FXStreet (Edinburgh) - EUR/USD keeps trading in the vicinity of 1.1300 the figure at the end of the Asian session on Thursday, ahead of the key FOMC meeting due later in the European evening.

Karen Jones, Head of FICC Technical Analysis at Commerzbank, noted the pair “remains upside corrective near term but upside probes are expected to remain minor and remain capped by the 1.1468 May high. Below 1.1204 should alleviate upside pressure for a slide to the 55 day ma at 1.1110. Failure here would trigger a slide to the base of the cloud circa 1.1021 and the base of the channel at 1.0928”.

In addition, FX Strategist at OCBC Bank Emmanuel Ng suggested, “Market skepticism towards the FOMC tonight may keep the EUR-USD supported (despite rate differentials continuing to argue for a firmer greenback) intra-day with the 200-day MA (1.1228) support still seen intact. Meanwhile, 1.1400 should continue to cap pending the FOMC statement”.
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