#forexbreakfast focus forex (eng)
The US rate hike continues, leading to an almost generalized decline in the emerging currency sector. The rise in rates reduces the attractiveness of assets denominated in these currencies. The rise in interest rates and the pressure to raise them all come from expectations for the Biden plan, to which one could add a 3 trillion infrastructural one, and from the epidemiological situation in constant improvement. The best sector of the week was that of commodity currencies, in particular currencies linked to the trend of industrial metals (Australian dollar in particular) in the wake of their excellent performance. The Eur / Usd fell below 1.21, to then rise again at the weekend thanks also to good German PMI data. The Eur / Gbp exchange rate, on the other hand, fell below 0.8650. To the advantage of the United Kingdom, there is excellent progress of the vaccination campaign, which is reflected in the infections. Weak emerging currencies, except for the Turkish lira, which benefits from the attitude of the Turkish Central Bank.
Eur / Usd
After going down and testing the 1.2021 area, the exchange is back above the 1.21 level. The current picture remains neutral. The resistance of area 1.2285 is fundamental to the upside. On the downside, if the support at 1.1971 were broken, the way would be opened for the 1.1837 area.
Eur / Gbp
The downward phase of the gearbox continues, which arrived near the 0.8623 area. The current situation remains heavily oversold. A strong rebound is increasingly likely given the high oversold level. A descent below the 0.8623 area remains difficult.
Eur / Yen
The bullish movement continues. The exchange rate remained above 127.50. The next resistances are placed at 128.90 and 129.38. However, the oscillators signal an overbought situation.
Eur / Mxn
Upward week for the exchange that is trying to break up the trading range from which it has been for 4 months. If the resistance at 25 were broken it would open the way to area 26.42. The oscillators appear to confirm the strength of the movement.