European & US sessions forecast levels: 1.5555/1.5770
Trend Sessions: European: Neutral/Upward
Market Focus: 2:00 AM German Consumer Confidence, 3:00 AM ECB President Trichet Speaks.
Daily Strategy: The most important news that will move the forex market this week is the expecting FOMC policy statement. It is expecting on Wednesday. The traders predict the Fed to cut the interest rates with 25 bps to 50 bps. It is very important how the Fed will act having a mind the inflation and the spread crisis over all economic sectors. For today the trading strategy is to open long positions, as buy on dips. We are predicting slowly movement of EUR/USD up and in the coming days to see new test of the record above 1.60.