EURUSD Forex Trading Signal June 2014

May proved once again to be an unfavorable month for EURUSD. The recent European elections gave the market hope that the European economy will shift toward growth in the coming years. However, in May 2014, ECB President Mario Draghi warned that the strength of the Euro is a ‘serious concern.’ Any new EU growth policies will likely lead to a more flexible Euro rate against the US Dollar over the next few years. From a long-term view, this is negative news for the Euro.

On the other hand, for the short-term EURUSD movement, our TCI model shows the Euro is now in an oversold area, which may push EURUSD higher in the coming weeks. Note that June is traditionally a strong month for the Euro against the USD (see the statistics table below).

The current TCI trading signal predicts the course of EURUSD for the upcoming weeks.

• Forex Asset: EURUSD
• Exchange Rate: 1.36328
• TCI Forecast: Uptrend Correction (↑)

Before diving deeper into EURUSD, let’s review our previous signal on the Nasdaq Composite.

Previous TCI Trading Signal on Nasdaq Composite

In our last TCI analysis, we predicted a short-term bullish market for the Nasdaq Composite, though we remain cautious about the long-term outlook.

At the time of our previous signal (May 19th, before market open), the Nasdaq was at 4,090.57 points. We forecasted a bullish trend and set a selling target for May 27th, 2014. Today, Nasdaq stands at 4,242.62 points, confirming our TCI-based trading signal.

■ TCI Signal: Short-Term Bullish Market

■ Nasdaq Starting: 4,090.57 points

■ Selling Target: 27th of May 2014

■ Nasdaq Today: 4,242.62 points

Read more: EURUSD Forex Trading Signal June 2014

Free Forex Trading Signals: EURUSD April 2014

It has been a while since our last Forex trading signal. The previous signal on EURUSD predicted a bullish market, and it proved accurate. The current TCI Forex signal also focuses on EURUSD. TCI forecasts the uptrend will continue, but the data does not show a clear, strong trend yet.

Forex Asset: EURUSD

• TCI Forecast: Uptrend continuation (↑) for two more trading days, followed by a correction (↓). See the TCI table below.

EURUSD Macroeconomic Outlook

Here are some key points about the Euro and the US Dollar:

High demand for the new 5-year Greek bond boosted confidence in the Eurozone. The $4.2 billion bond sale offered a 4.75% coupon, with 90% of bonds bought by long-term investors.

At the IMF spring meetings, Mr. Benoit Coeure, ECB executive board member, said: “The stronger the Euro, the more need for monetary accommodation.” He added that while the ECB does not target a specific Euro exchange rate, the Euro’s value is important because it directly affects inflation in the Eurozone.

Regarding the US Dollar, the Federal Reserve expects USD interest rates to remain stable until early 2015. This disappointed some investors who expected a rate increase in the first half of 2014.

EURUSD Technical Analysis

Last week, the Euro was strong against the US Dollar but failed to hold above the key supply level of 1.39.

• Short-term supply level: 1.393
• Short-term demand level: 1.386

Read more: Forex Trading Signals: EURUSD April 2014

📶 Free Forex Signals: GBPUSD April 2014

In this TCI analysis, we will examine GBPUSD using the TCI model, statistical trends, and fundamental updates. Historically, April has been a strong month for the British Pound against the US Dollar, while May typically brings a correction for GBPUSD. Important economic news and updates are expected between April 30 and May 8, affecting both the US and UK economies.

• Forex Asset: GBPUSD
• TCI Forecast: Possible Uptrend (↑)
• Target Level: 1.7000

🌍 Macroeconomic Outlook

The British Pound is gaining strength ahead of key news releases and the Bank of England’s meeting on May 8, 2014. Investor confidence in the UK economy is rising, which is clearly reflected in the Pound’s performance so far in 2014. Although concerns about the UK’s current account deficit remain, the economy continues to grow, a trend expected to be confirmed by the first-quarter GDP report. Additionally, rising housing prices combined with increasing wages may create the conditions for an interest rate hike to address inflationary pressures.

Regarding the US Dollar, a critical period of important announcements is underway from April 30 to May 2, 2014. It is advisable to avoid trading the US Dollar during these days unless you have a thorough understanding of the market.

Read more: GBPUSD April 2014

📶 Forex Trading Signals: The British Pound (GBP) against other Majors and EURUSD

In this TCI analysis, we will examine the British Pound (GBP) against other major currencies. Recently, the British Pound has performed strongly against all majors. Before presenting the current TCI results, let’s review our previous TCI signal on EURUSD.

In our previous TCI trading signal, we forecasted an upward trend for EURUSD. Specifically, we stated, “Based on TCI results, EURUSD is trading at oversold levels and will likely correct upwards early in the week ahead.”

At that time, EURUSD was trading at 1.34864. Today, EURUSD stands at 1.36929, confirming the TCI signal. Below, you will find what TCI forecasts for EURUSD over the coming weeks.

💱 The British Pound against Forex Majors

As mentioned, the British Pound has been a strong performer lately, but this rapid rise means it may now be technically overbought. The most likely scenario is a short-term correction for GBP. However, note that GBPUSD is currently at a key resistance level. If the British Pound manages to break through this resistance, a strong continuation of the trend could follow. Let’s examine what lies ahead for GBPUSD and EURGBP using the TradingCenter Indicator (TCI).

⚙️ TCI on GBPUSD -The British Pound against the US Dollar

• Currently: 1.67463

• TCI Forecast: POSSIBLE CORRECTING DOWNTREND FOLLOWED BY CONTINUATION

The following table shows the TCI results for GBPUSD over the coming calendar month.

Read more: The British Pound (GBP) against other Majors and EURUSD