Strategy Video: EURUSD and GBPUSD Top Trade Risk for FOMC

By DailyFx | June 17, 2014 AAA

DailyFX.com -

Talking Points:

• The upcoming FOMC meeting will present greater market potential than usual with forecasts and a presser

• A further Taper is fully priced in, the market is looking at interest rate forecasts to speculate on

• EURUSD and GBPUSD combine larger technical patterns and recent ranges to amplify trade risk/opportunity

Want to see volume on your FX charts? Sign up to be added to the waitlist for the FXCM Real Volume and Transactions indicators.

The dollar has set itself within narrow ranges on many of the majors, presenting a serious volatility and breakout risk on the FOMC decision. For influence, this event taps the market's primary fundamental themes: investor sentiment that has been driven to complacency on cheap funds and the relative influence of interest rate forecasts. In this event, the Taper is not the market's biggest question mark. Rather the quarterly meeting's update on interest rate, inflation, growth and employment forecasts along with Janet Yellen's press conference can feed speculation surrounding the timing of the first Fed hike and the pace of subsequent moves. With a look to all of the majors - but particular interest in EURUSD and GBPUSD - we discuss this event in today's Strategy Video.

Sign up for John’s email distribution list, here.

comments powered by Disqus
Related Forex Analysis
  1. GBP/USD recovering from Asian lows
    Forex News

    GBP/USD recovering from Asian lows

  2. USD/JPY mellow on the back of USD sell-off
    Forex News

    USD/JPY mellow on the back of USD sell-off

  3. Dollar Cheered in Press, But Data and Fed Chatter Turning
    Forex News

    Dollar Cheered in Press, But Data and Fed Chatter Turning

  4. EUR/USD Downside Targets Favored Ahead of ECB on Slowing Inflation
    Forex News

    EUR/USD Downside Targets Favored Ahead of ECB on Slowing Inflation

  5. US Dollar Technical Analysis: Is a Pullback in the Cards?
    Forex News

    US Dollar Technical Analysis: Is a Pullback in the Cards?

Trading Center