ACTIVITY DECLINES DUE TO THANKSGIVING CELEBRATION
The EUR/USD price keeps consolidating thanks to a short trading week in the US due to the Thanksgiving Day celebration. Investors are also reluctant to open new positions ahead of tomorrow’s release of the ECB monetary policy meeting minutes. Some pressure on the greenback came from the durable goods orders report in the US, according to which the indicator decreased by 1.2% in October against forecasted growth of 0.4%. At the same time, the core durable goods orders increased by 0.4% which was in line with the expected figure. The attention of the market today will turn to the FOMC meeting minutes’ publication at 19:00 GMT. We should note that Janet Yellen will be leaving the chair and the hawkish sentiment on the market will be hit by the uncertainty concerning the future inflation figures forecasts by the Fed, which have become less certain after the last speech by Mrs. Yellen.
The British pound was negatively affected by the finance minister, Philip Hammond’s speech during which he announced that forecasts of economic growth in the UK had worsened due to lower labour force productivity. Tomorrow, investors should pay attention to the preliminary report on British GDP growth for the third quarter.
The aussie quotes grew amid investors uncertainty regarding the US dollar. News on the MI leading index increasing by 0.1% in September had little impact on traders. Activity until the end of the week will be low due to the holiday in the US, but we do not exclude sharp moves due to lower trading volumes.
The EUR/USD returned to the support line at 1.1730 but was not able to break through it. The next target in case of rising dynamics will be 1.1825. On the other hand, we do not exclude the price fixing below 1.1730 which may become a trigger for a sharp decline to 1.1620 or even to 1.1500.
The GBP/USD has shown a sharp rise in volatility after some consolidation near 1.3250. The gradual decline in the amplitude of price fluctuations, increases the possibility of a powerful impulse in either direction. In case of the price fixing under the inclined support line, the immediate goals will be at 1.3150 and 1.3050. The growth within the next days is likely to be limited at the 1.3400 mark.
The AUD/USD restored some of the previously lost positions and may continue the rising dynamics to 0.7600 and 0.7635. The RSI on the 15-minute chart is approaching the overbought zone which points to a possible price correction. The MACD signal line on the 15-minute chart just crossed the zero line which is an additional stimulus for the price to continue growing.