06.11.2019: EUR, GBP to gain momentum amid positive reports (EUR, USD, GBP, CHF)

06.11.2019: EUR, GBP to gain momentum amid positive reports (EUR, USD, GBP, CHF)

The US dollar continued its downtrend during the European session. Today, the euro/dollar pair is consolidating above 1.1070. After the pair’s decline at the beginning of the week, the new price target lied at its last week’s low of 1.1070. Traders were buying the currency at a favourable price. What is more, the pair soared up amid the release of strong data on factory orders. In September, Germany’s industrial orders increased by 1.3%, while their annual decline slowed to 5.4%. Today, the pound/dollar pair is gaining ground in anticipation of the Bank of England meeting. Yesterday, despite the US dollar’s rally, the pair did not extend losses. The news that the Conservative Party of the British Parliament still had a lead over the Labour Party supported the pound. For now, the pair is trading below the bearish trend line near 1.2880. However, it has every chance to win favor with traders, since other pairs are also recovering from yesterday’s fall. The Bank of England is likely to keep its base rate unchanged due to uncertainty over Brexit. Besides, today, the Conservative Party of the UK is set to release the details of the upcoming campaign. The day before, the USD/CHF pair inched up by more than 40 pips on a stronger US dollar and improved market sentiment. Today, trading activity has declined and the pair is consolidating around 0.9930. Yesterday, the US dollar was supported by the ISM non-manufacturing index for October, which indicated expansion in the services sector. Today, the US is expected to release Non-farm Productivity, the JOLTS job report, as well as data on crude oil inventories from the Department of Energy. The markets will also focus on the speeches of Presidents of the Federal Reserve Bank of Chicago, Philadelphia, and New York – Evans, Parker, and Williams, respectively. We keep close tabs on the market development. Stay tuned!

One Comments

  • FinBrain Technologies

    November 7, 2019

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