#forexbreakfast focus forex (eng)
The week just passed ended with the general appreciation of the dollar. The movement started with the anticipation of the announcement of the Biden aid plan and after gained strength with the risk-off climate. The Eur / Usd exchange rate fell towards 1.2050. In addition to the Biden plan, this decline was caused by the epidemic situation at the European level, the extension of the measures, and the delays announced by Pfizer. The strengthening movement of the dollar continues and is also involving the yen and the Swiss franc. Reinforcing this was the indiscretion that Yellen could become secretary to the treasury. Excellent performance for the pound, which was appreciated after the BoE Governor Bailey statements who held back on a possible rate cut. Among the emerging currencies, the Mexican peso and the ruble appreciated. Expectations on inflation also contributed to the rise of the Real, which could suggest a reversal of monetary policy. Among the worst currencies of the week, we find the Polish Zloty.
Eur / Usd
The Eur / Usd exchange is ending the bearish movement. It is near the up trendline. The daily indicator signals an oversold situation. On the downside, pay attention to the 1.20 area, this support must hold. Subsequent supports are placed a 1.1837 and 1.1660. On the upside, the references remain in the area of 1.2350 and 1.2414 / 1.2555.
Eur / Gbp
Eur/Gbp has returned below 0.90 in the wake of the appreciation of the pound. Further appreciation is unlikely given the epidemic situation. On the downside, the first support is at 0.8872. On the upside to be monitored 0.90 and subsequently 0.9144 / 0.9162.
Eur / Real
Has generally appreciated last week. However, a bullish movement could be mitigated by the critical epidemic situation. The up trendline moves to 6.25, below it is the support at 6.17. On the upside, the targets are at 6.60 / 6.80 and 7.
Eur / Zloty
Bad week for the Polish zloty as it depreciated against almost all major currencies. The exchange rate remains above 4.50, the reference level for possible central bank interventions. The weakness of the zloty was caused by the declarations of Governor Glapinsky. According to him, the central bank would be ready to intervene. Area 4.50 remains to be monitored. First support at 4.48. On the upside 4.60.