#forexbreakfast focus forex (eng)
Last week ended with an almost general depreciation of the Euro. The Eur / Usd exchange rate came close to the 1.17 area after the ECB meeting and after the lower, than expected US GDP figure. It closed close to 1.16 on Friday. Volatile week for the pound with the Eur / Gbp exchange rate falling close to 0.84 and then rising again after the rekindling of tensions with the EU over Northern Ireland and maritime disputes with France. BoE meeting expected this week. The Eur / Chf is also decreasing and is returning to the 1.05 area, with possible intervention by the CB.
Good week for the Canadian dollar after the central bank’s announcement to stop QE. The Australian dollar has lost value against all major currencies, following Australian CB’s statement that it does not want any rate hike before 2023. The worst currency of the week was the South African rand, following the decline in industrial metals. The oil currencies were also weak, following the decline in Brent.
Eur / Usd
After unsuccessfully testing the resistance at 1.1693, the exchange has returned to swing in the 1.16 area. If this last resistance will overcome at the end of this week, the bearish channel that started this spring will break. On the downside, the support at 1.1530 remains to monitor.
Eur / Gbp
After breaking the resistance at 0.8486, the pair closed the week below 0.8461. The prices remain in the side channel in place since the first months of the year. The first supports to monitor are in the 0,8426 / 0,84 area.