Euro and the dollar will be "judged" by the Fed
29.10.2014
On Wednesday, the main currency pair is trading sluggishly in anticipation of the evening decision of the Federal Reserve System.
The euro/dollar on Wednesday afternoon is “bored” in a narrow range, while in the Asian session, investors still tried to buy a little. Now it all came to naught, ahead is the closing of the two-day meeting of the US Federal Reserve with the decision the rate and comments on the QE3 program.
Perhaps this last point looks more and more intriguing. Yesterday one of the members of the Governing Board of the Federal Reserve noted that the economic situation is good for the preservation of the residual volume in QE3 for still some time. This will weaken the position of the USD if the Fed did take such a decision.
However, the latest statistics are quite positive. Yesterday a report on consumer confidence in the current month results came out stronger than expected. But traders in the euro/dollar now rely more on the preservation of QE3, and it is not possible to return the previous dollar leading position.
All the attention is focused on the meeting of the Federal Reserve, culminating at 19:00 GMT.
RoboForex Analytical Department
The euro/dollar on Wednesday afternoon is “bored” in a narrow range, while in the Asian session, investors still tried to buy a little. Now it all came to naught, ahead is the closing of the two-day meeting of the US Federal Reserve with the decision the rate and comments on the QE3 program.
Perhaps this last point looks more and more intriguing. Yesterday one of the members of the Governing Board of the Federal Reserve noted that the economic situation is good for the preservation of the residual volume in QE3 for still some time. This will weaken the position of the USD if the Fed did take such a decision.
However, the latest statistics are quite positive. Yesterday a report on consumer confidence in the current month results came out stronger than expected. But traders in the euro/dollar now rely more on the preservation of QE3, and it is not possible to return the previous dollar leading position.
All the attention is focused on the meeting of the Federal Reserve, culminating at 19:00 GMT.
RoboForex Analytical Department
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Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.