#forexbreakfast focus forex (eng)
Last week the currency markets saw a return in strength of the dollar, benefiting from an almost risk-off mode and the rise in US government rates. The difference in the US / EUR rates pushed the EUR / usd below 1.16 for the first time in over a year.
This week we will have to pay attention to the US jobs data and the ECB meeting where a change on the PEPP will likely to be announced.
Volatile week for the Pound, pressed in one side by the logistics crisis that is raging in the UK and on the other by 3 rate hikes announced by the BoE for 2022.
The Eur / Gbp exchange rate remained around 0.8550.
Mixed week for emerging market currencies. Bad week for the Chilean and Mexican pesos. Good week for the South African Rand instead. Good week for the Brazilian real who has begun to benefit from the intervention of the BC.
Eur / Usd has closed around 1.16 area, but not before reaching 1.1563 area. Both oscillators signal an oversold situation. On the upside, the first resistance is at 1.1693. On the downside, area 1.1563 remains to monitor.
The short bullish movement has been held back by the resistance at 17.74. Oscillators are signaling strong overbought levels.
On the upside to monitor there are resistances at 17.65 and 18.25.
On the downside to monitor there is the resistance at 16.69.