EUR/USD: Market consensus on calling 1.37 next target

FXstreet.com (Barcelona) - The bombshell which represented 'not to taper' by the Fed had enormous consequences for the outlook of all majors, including the EUR/USD, with market strategists so far sharing the same bullish view on the pair.

Based on the assumption that there is further room to the upside, from a technical standpoint, calls indicate 1.37 as next major target for buyers. With little to none retracement in Asia, any dips are expected to be shallow too.

According to Adam Button, Lead US Editor at Forexlive: "The EUR/USD chart is beautiful as it sprung from a massive double-bottom in April and July. It topped out at about the June high and then posted a near-perfect 50% retracement. Now it’s busted out and has a one-way ticket to the annual high at 1.3711."

Meanwhile, John Noonan, Head of IFR Markets, notes: "Decision not to taper and dovish message changes outlook for USD. Break above 1.3460 doesn’t seen any significant resistance this side of 1.3700. Support at former resistance at 1.3450/55."

NZD/JPY consolidates above 82.20 zone; around 16-week highs

NZD/JPY sustains yesterday’s gains obtained on the rally triggered by the FOMC results in the United States. The pair accumulates 0.40% gains against a weaker yen dragged by a stronger Nikkei on Fed’s tapering outcome.
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AUD/JPY above 93 despite Yen strength

The AUD/JPY foreign exchange cross rate is last trading at 93.21 off recent 1-week highs at 93.39 posted on the back of massive Aussie strength after FED Bernanke did not delivered the long awaited “tapering” program, sending AUD/USD to fresh 2-month highs.
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