Tuesday 14 February UOB Daily Forex Trade ideas, ahead of Fed Chair Janet Yellen testimony before the Senate Banking Panel. Will markets detect hawkish sentiment? She will mention labor market is close to full employment and will not give out much on fiscal policy. USD bearish?
AtoZForex – These are UOB forex trade ideas for 14 of February on the five major pairs; AUDUSD, EURUSD, GBPUSD, NZDUSD and USDJPY .
Summary of 14 February UOB Daily Forex Trade ideas
AUDUSD: Further upside move diminishing – Bullish bias (unchanged outlook)
AUD bullish outlook looks encouraging after a strong weekly and daily close (last Friday). However, AUD has to clearly break through the 0.7700 ceiling, failing to do so would mean that a short term top is in place. a UOB added,
“… A clear break of 0.7700 could lead to a rapid rise towards 0.7735, 0.7780. The trailing stop-loss is adjusted higher to 0.7615 from 0.7595.”
EURUSD: Downside pressure to 1.0530 – Neutral bias
EUR slowly at turtles pace makes its way to the downside as it touched a low of 1.0590. There is continued EUR weakness after price hit a low of 1.0606 last Friday. There is possible further downward movement towards 1.0530 with an intermediate support at 1.0575. UOB added…
“… downward momentum is patchy at best and any weakness is likely to be ‘slow and grinding’. Resistance is at 1.0680 but only a move back above 1.0710 would indicate that a short-term low is in place.”
Also see: Daily Free Forex Signals
GBPUSD: Range bound 1.2350-1.2600 – Neutral bias (unchanged)
Very little to add as GBP continues to trade sideways. With the low volatility seen recently indicates a narrowing of the trading range. UOB added….
“… lower volatility seen over the past few days suggests a narrower consolidation range of 1.2350/1.2600 instead of the 1.2350/1.2670 expected previously”
NZDUSD: Stabilzation if above 0.7220 – Neutral bias
On Friday 10 February UOB analysts shared that the downside pressure on NZD would lead to a further move on the downside towards the strong support level of 0.7155-60. With no signs of stabilization as NZD touched a low of 0.7156 yesterday. Further bearish move likely, however there is a strong support at 0.7115-20. UOB added…
“… On the upside, only a move back above 0.7220 would indicate that the current negative undertone has stabilized.”
USDJPY: Rebound extension towards 114.50– Neutral bias (unchanged)
The current rebound from the 111.50-60 level indicates possible extension towards 114.50. A break above 114.50 could possibly see price move towards the late January high of 115.35-40. However, the odds for a continued momentum to the upside above the 115.35-40 level are not high. UOB added,
“….. the current positive undertone for USD would ease only when 112.60 is taken out (113.20 is already a strong short term support).”
This concludes the 14 February UOB Daily Forex Trade ideas, remains unchanged from yesterday.
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