Morning Insights 14th May

Simon Alagbe

Analyst

Instrument: EURUSD

Intraday: Bearish

Technical Analysis

Preference: Sell position is envisaged if price trades below 1.08031 with take profit at 1.07809

Alternative scenario: Buy position is envisaged if price trades above 1.08328 with take profit at 1.08779

Fundamentals:

Unemployment Claims (USD) 1:30 pm 

Comment: This pair got rejected at the 1.08 level after the Fed Chair made a statement squashing all thoughts of a negative interest rate, this, in turn, put more confidence in the US dollar, causing an influx of investors in the dollar. It is envisaged that the pair will continue trading bearish pending the next job insurance claims. 



Instrument: GBPUSD

Intraday: Bearish

Technical Analysis

Preference: Sell position is envisaged if price trades below 1.21809 with take profit at 1.21550

Alternative scenario: Buy position is envisaged if price trades above 1.22155 with take profit at 1.22385

Fundamentals:

Unemployment Claims (USD) 1:30 pm

Comment: This pair started trading bearish after the Fed Chair made a statement clearing all doubts on the possibility of negative interest rate, this, in turn, made the dollar a safe haven to investors, causing an influx of investment. It is envisaged that the pair will continue trading bearish pending the release of unemployment claims later today. 

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