EURUSD
Manufacturing PMI numbers improved in EZ Germany in October, however the numbers remained below 50 which means that the contraction persisted, only Spain PMI was higher than 50, at 54.5 in October. In the meantime, investor sentiment in EZ slightly improved in November, EURUSD was little changed today, trading at 1.0876, waiting for a big day ahead from America ECBs President Lagarde speech as well.
Daily volatility remained limited, with bullish daily trend index. 1.0860 1.0830 are support levels, while 1.0915 is resistance shortterm target. Higher volatility ahead.
USDJPY
USDJPY traded slightly higher today at 152.52 as the traders remained cautious about the outcome of todays US presidential election. We think that this currency pair is likely to be one of the most highly correlated pairs to the US elections, mainly because of the US bond yields. Remember that higher bond yields are likely to keep the support for USD.
151.50 was support where the traders started buying again, targeting 153 then 153.30. In the forecast poll, traders showed more bearish bias than bullish, but sentiments may change.
GBPUSD
GBPUSD was little changed today at 1. 2960.British Retail Consortium numbers showed weaker retail sales in October than before. SP global services PMI will be due later today. Volatility is likely to increase gradually, mainly on Thursday with BoE rate decision. BoEs August forecast predicted UK inflation at 2.4 in one year, 1.7 in two years,…