FX News - June 18 2014: Quiet Market Ahead of FOMC Event

FX Strategy Articles > FX Trading Tips

The market is currently on a look and see mode as it awaits the BoE and FOMC events that will happen later today. First off is the release of the minutes of the Bank of England’s latest meeting, which will reveal how each member voted. It will happen at 8:30AM, GMT. Then there’s the interest rate decision that will be announced by the Fed at 6:00PM, GMT. It is largely expected to remain at 0.25 per cent. In addition, the Fed will also make a statement on its QE program, as well as hold a press conference regarding its monetary policy.

The USD/JPY pair has so far remained flat today ahead of the FOMC event. This continued the trend that began towards the middle of yesterday’s European session where it peaked at 102.24, before hovering within a narrow range between 102.10 and 102.20. The pair opened today’s Asian session at 102.18, before dipping slightly lower and trading between 102.12 and 102.18. It is currently trading at 102.17, with initial resistance seen at 102.43, followed by 102.68. Meanwhile, initial support is at 101.97, followed by 101.72.

The pair was unaffected by the Bank of Japan (BoJ) minutes released earlier today. It revealed that members of the BoJ saw it appropriate for the bank to continue with its QQE program.

Meanwhile, the AUD/USD pair has remained just above the 0.9330 area after slipping sharply in yesterday’s European session. This was due to the stronger greenback, which found a boost on its better than expected inflation figures. The pair opened at 0.9336, before rising slightly and peaking at 0.9346. It is currently trading at 0.9341, with initial resistance seen at 0.9372, followed by 0.9395. Meanwhile, initial support is at 0.9295, followed by 0.9272.

By FX Strategy Team, Published on 18th of June 2014
eTorro - Trading Starts Here

Start Trading Forex with up to $10,000

  • 100s Videos and FX Strategy articles
  • Advice from our FX traders
  • Practive free with using real time