The forex market sees the dollar move lower and then back higher
A look around the forex market post the FOMC decision is showing:
- EURUSD: The EURUSD move up to a high 1.12999, just short of the 1.3000 natural target and moved back down. The low reached 1.12733 before moving back higher. The pair currently trades at 1.1289. Get above 1.1300 and the falling 100 hour MA at 1.1311 will need to be broken. Stay above the 100 hour MA and the pair can work on the 200 hour MA at 1.1343.
- GBPUSD: The GBPUSD moved up to test its 100 hour MA at 1.35248> The 100 day MA is at 1.3530. The high price reached 1.35238. The price has moved down to 1.34968 which is above the low for the day at 1.34908. A lower swing area at 1.3489 to 1.34988 is still support while the 100 hour MA and the 100 day MA remain resistance. Look for a break of either extreme to kick start a move in the direction of the break.
- USDJPY: The USDJPY moved to a new session high but remained short of a downward sloping trendline at 114.54. The 38.2% retracement is at 114.562 and would also need to be broken if the pair is to go higher. On the downside, the 100 hour MA at 113.18 continues to hold support. The low reached 114.203 and bounced.
- USDCHF: The USDCHF moved up and down and is back up again. The pair is back above the 100 day MA at 0.92128 and traders will now watch that level for support. Stya aboe and the 0.9232 level will next be targeted.
The major indices at the start of the Fed Chair press conference shows:
- Dow up 260 points
- S&P up 64 points
- Nasdaq up 320 points
- Russell 2000 up 31.25 points