Contradictions in the Markets Send the USD Higher

Daily Forex Fundamentals | Written by Crown Forex | Oct 16 08 14:42 GMT |

A full fundamental calendar from the US today has finally been released showing that inflation in the nation has slightly eased yet industrial production and the labor market remains week. With all the different colors on the calendar, the USD was able to find its way to the upside against majors in the markets.

The Euro reversed to the downside from the 1.35 resistance level to pare earlier gains recorded as it is currently trading near the 1.34 levels where the breach of the level will send the pair lower to target 1.3372 before extending its losses to the 61.8% correction for the long term ascending channel at 1.3320. The direction is still neutral as we see the ADX indicator showing slight adjustments with the momentum indicators still in normal levels.


As for the Royal currency it breached the 1.7220 level to the downside where it is currently being limited by the support level at 1.7180. Trading is of low volumes but if the mentioned support is broken, the pair will decline further to 1.7140 before gathering momentum to rebound to the upside. Direction indicators are also neutral suggesting a sideways pattern

After the USD/JPY spiked to record a high at 101.37 which is the 61.8% correction for the ascending channel, the pair reversed to the downside to currently trade below the level at 100.85. Movements are within narrow ranges between the mentioned level and the 99.64 level but the pair still has slight potential to retest the resistance level at 100.85

Crown Forex

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