European & US sessions forecast levels: 1.4040/1.4245
Trend Sessions: European: Neutral
Market Focus: 10:00 AM Pending Home Sales, 2:00 PM Auto Sales, Truck Sales, 2:50 AM French PPI.
Daily Strategy: The euro/dollar trading reached our target level of 1.4250 that we forecasts couple of days before. This is a record level for 2009. The trading after the reached of our target remain mix with chances for consolidation at the levels of 1.41/42. The focus comes over the expecting ECB interest rates decision on Thursday. It is expecting ECB to leave the interest rates unchanged at 1.00%. But eventually bad report for the Euro Zone unemployment may lead to interest rates cut in Europe with 25 bps. On the forex market is expecting mix trading today. The chances for break above 1.4250 are minimal but if happen we can see fast levels of 1.4420. Otherwise we recommend trading within the trading range.