27 Feb 2015
FX ranges to watch, USD to strengthen into year-end – Scotiabank
FXStreet (Barcelona) - Camilla Sutton CFA, CMT, Chief FX Strategist at Scotiabank, lists the key FX ranges to watch with most pairs trading within their month long ranges, and further expects USD to strengthen into year-end, awaiting a unison break in the FX space.
Key Quotes
“The ranges to watch are highlighted below:
EURUSD: 1.1098 to 1.1542 (on the weekly chart 1.1563 is key).
USDCAD: 1.2314 to 1.2799
GBPUSD: 1.4952 to 1.5584
USDJPY: 115.57 to 121.85
AUDUSD: 0.7626 to 0.7889 (broke out on an intraday basis this week but failed to close above; increasing the importance of next week’s RBA).”
“It will be a break of these ranges, particularly if it is in unison that will be important. Yesterday’s trading pattern in EUR was important, as it highlights that for EUR the focus has shifted from developments in Europe to the U.S. side of the equation."
“Our base case continues to be USD strength into year‐end; which is partially dependent on the Fed’s path from here. As long as core CPI stabilizes and labour continues to improve we expect USD strength to materialize.”
Key Quotes
“The ranges to watch are highlighted below:
EURUSD: 1.1098 to 1.1542 (on the weekly chart 1.1563 is key).
USDCAD: 1.2314 to 1.2799
GBPUSD: 1.4952 to 1.5584
USDJPY: 115.57 to 121.85
AUDUSD: 0.7626 to 0.7889 (broke out on an intraday basis this week but failed to close above; increasing the importance of next week’s RBA).”
“It will be a break of these ranges, particularly if it is in unison that will be important. Yesterday’s trading pattern in EUR was important, as it highlights that for EUR the focus has shifted from developments in Europe to the U.S. side of the equation."
“Our base case continues to be USD strength into year‐end; which is partially dependent on the Fed’s path from here. As long as core CPI stabilizes and labour continues to improve we expect USD strength to materialize.”