Fed Rate Expectation Keep Hammering EM Currencies

Emerging-market currencies weakened, led by the Turkish lira, and developing-nation stocks fell for a fourth day amid concern U.S. interest rates may rise faster than investors anticipated.

The lira and South African rand both depreciated 1.1 percent versus the dollar, while South Korea’s won decreased 0.8 percent. Benchmark equities gauges in Turkey and Egypt declined at least 1.1 percent. OAO Sberbank paced a 0.8 percent gain in Russian shares after European Union governments put on hold the imposition of new sanctions.

The MSCI Emerging Markets Index retreated 0.7 percent to 1,087.76 at 1:33 p.m. in London, poised for the longest losing streak since Aug. 8. Low volatility across financial markets may signal investors are underestimating how quickly the Federal Reserve will raise interest rates, according to researchers at the San Francisco Fed.

“The Turkish lira remains one of the most fragile currencies,” Martial Godet, the head of emerging-market equity and derivatives strategy at BNP Paribas SA in Paris, said by e-mail. “Forecasts of Turkey’s current-account deficit still stand among the highest in emerging markets.”

The lira weakened to 2.1990 per dollar, the lowest level since March 25 on a closing basis. Turkey’s current-account gap was 7.5 percent of gross domestic product at the end of the first quarter, the most among major emerging markets, according to data compiled by Bloomberg.

via Bloomberg

MarketPulse

The post Fed Rate Expectation Keep Hammering EM Currencies appeared first on FX FOREX.

via WordPress http://ift.tt/1sbGVcY



Forex, currencies, expectation, Hammering, Keep, rate

Technical analysis of GBP/CHF for March 25, 2014

Show full picture Technical outlook and chart setups: 1. The GBP/CHF pair remains unchanged structurally. The back side of support trendline is providing enough resistance in the 1.4650/1,4700 zone for now. Prices should drop lower to at least 1.4350 as immediate target before producing any further meaningful pullbacks. It is recommended to remain short for now, risk remains at 1.47. 2. Immediate resistance is at 1.4650/1.4700 (trendline), followed by 1.4850/60, 1.4850 and 1.5120, while supports are spread through 1.4360/70, followed by 1.4200 and lower respectively. 3. The structure reveals that GBP/CHF should be heading south till prices remain in the sell zone and below 1.4700. Minimum expectation is 1.4350 for now. Trading recommendations: Remain short for now, stop is at 1.4700, target is at 1.4350. Good luck! Performed by Harsh Japee, Analytical expertInstaForex Group © 2007-2014 ShareAsk the authorBack to the listMore…

via Forex analysis review:

Technical outlook and chart setups:

1. The GBP/CHF pair remains unchanged structurally. The back side of support trendline is providing enough resistance in the 1.4650/1,4700 zone for now. Prices should drop lower to at least 1.4350 as immediate target before producing any further meaningful pullbacks. It is recommended to remain short for now, risk remains at 1.47.

2. Immediate resistance is at 1.4650/1.4700 (trendline), followed by 1.4850/60, 1.4850 and 1.5120, while supports are spread through 1.4360/70, followed by 1.4200 and lower respectively.

3. The structure reveals that GBP/CHF should be heading south till prices remain in the sell zone and below 1.4700. Minimum expectation is 1.4350 for now.

Trading recommendations:

Remain short for now, stop is at 1.4700, target is at 1.4350.

Good luck!

The material has been provided by InstaForex Company – www.instaforex.com

For more info: Technical analysis of GBP/CHF for March 25, 2014

Forex analysis review

Technical analysis of GBP/CHF for March 25, 2014

The post Technical analysis of GBP/CHF for March 25, 2014 appeared first on FX FOREX.

via WordPress http://ift.tt/1dmhY9Q



Personal Finance, expectation, group, japee, luck, outlook, performed-by-harsh, pullbacks, technical, trendline