#forexbreakfast focus forex (eng)
The main driver of the past week was the almost generalized weakness of the dollar. The Eur / Usd exchange rate rose above 1.21 this morning. In addition to the breakdown of some technical levels, this was also supported by the good PMI data of the EURO area, which after 7 months returned to show signs of expansion. The good PMI data boosted the single currency, which was appreciated against almost all major currencies. The currencies of the emerging sector benefited from the depreciation of the dollar, particularly the Real, the best currency of the week, the currency also benefited from the agreement on the 2021 budget. A good week also for the ruble, which benefited from Putin’s milder than expected speech and from the decision by the Central Bank to raise rates beyond expectations. Bad week for the Turkish Lira, which was affected by the new tensions between Turkey and the United States, after President Biden officially recognized the Armenian genocide. Further weighing on the currency was President Erdogan’s statement on the use of reserves in case of need. The Eur / Try exchange rate thus rose above 10. In Canada, in the wake of the improvement, the Central Bank announced the start of the reduction in weekly purchases, which will be reduced from 4 billion to 3Mld. After an initial appreciation of the Canadian dollar, the currency depreciated more or less generally.
Eur / Usd
The break of the bearish trendline on the lows seems to be confirmed. Now a possible break of the bearish trendline that passes from the highs could bring the exchange rate to 1.2184. The Daily Stochastic, however, is heavily overbought. On the downside, the first support to monitor is that at 1.1941.
Eur / Gbp
The week tends to rise for eur / gbp, even if it fails to remain stable above the 0.87 level. The slightly contrasting oscillators signal that there may be some profit-taking in the short term. The first resistance band remains at 0.8783 and subsequently at 0.8791. On the downside, the first support is at 0.8623.
Eur / Yen
A week of apparent calm due to the exchange rate which remained stable above the 130 level. The trend appears to be consolidating. In the next few days, the uptrend line that passes to 129.5 must hold. its break could at least in the short term lead to a reversal of the trend. On the upside, only the break of resistance at 132.24 could give strength to the bullish movement.
Eur / Try
An upward week with prices rising above 10.30. The trend is up, but the oscillators are coming from signals of possible pauses in the short term. The first support is placed at 9.78 and subsequently at 9.42. On the upside, the first resistance is at 10.50.