Saturday, August 30, 2014

Action Insight Weekly Report 8-30-14

ActionForex.com
Action Insight Weekly Report Markets Snapshot

Euro Broadly Lower as Focus Turns to ECB

Euro turned into consolidation after initial dip against the greenback last week. But finally, the common currency seemed to have given up on Friday and extended recent decline, closing near the weekly low at 1.3130 against dollar. Indeed, weakness of the euro was rather broad based. In particular, EUR/AUD and EUR/CAD were the two weakest pairs as Aussie and Canadian were both lifted by strength in the stock markets. That was in sharp contrast to Sterling, which remained relatively resilient in crosses even though there was practically no momentum for GBP/USD to stage a meaningful recovery during the week. Dollar and yen were mixed.

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Featured Technical Report

GBP/USD Weekly Outlook

GBP/USD edged lower to 1.6534 and formed a temporary bottom there and turned sideway. Initial bias is neutral this week for some sideway trading. But upside of recovery should be limited by 1.6737 resistance and bring fall resumption. Below 1.6534 will extend the fall from 1.7190 to 1.6251 cluster support (38.2% retracement of 1.4813 to 1.7190 at 1.6282).

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Suggested Readings

 

The Week in Review and Outlook

 

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