UBS post-FOMC intraday setups

17 December,, London – Following one of the most important, but also one of the most well communicated, events of 2015, the Swiss global financial services company has provided its special post-FOMC intraday setups. The intraday outlook is focused on four major currency pairs EURUSD, USDJPY, USDCHF, and GBPUSD.


Starting with the post-FOMC intraday setups, the Euro traded in a relatively wide range this morning in Asia, but interest was subdued and moves lower were slow and steady. UBS argues that liquidity will become more of an issue as we near the year end, thus we could expect to witness larger moves on lower volume.

“We think the market will continue to buy US dollars and we would sell any rallies towards 1.0880 – 1.0900, with a stop above 1.0935, targeting a move towards 1.0800,” UBS projected.

UBS post-FOMC intraday setups EURUSD H1 Timeframe


Moving on to Yen, risk has responded to the Fed rate hike quite well, with equities drifting higher. While UST yields were mostly unchanged.

“In terms of flows, there has been more focus on EURUSD than USDJPY. We think the pair is a buy on dips, but we can’t get too bullish at these levels,” UBS added.

UBS post-FOMC intraday setups USDJPY H1 Timeframe


Swissy, on the other hand, is trading slightly bid and ought to remain doing so. Since the FOMC meeting was the last major event of 2015, as discussed, the liquidity will become muted and we could still see large price surges.

Consider reading: Goldman Sachs post-FOMC FX view and strategy

“Play the range today; support at 0.9920 and 0.9870, while there is resistance at 0.9970 and 1.0030,” UBS advised.


Finishing the post-FOMC intraday setups, as the USD strengthened post-FOMC Press Conference, the Cable dropped to a low of 1.492.

“The critical level for GBPUSD is just below 1.4900 and we prefer playing the range until the year-end, favouring longs below 1.4900,” UBS finished.

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