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14.06.202310:50 Forex Analysis & Reviews: EUR/USD and GBP/USD: Trading plan for beginners on June 14, 2023

Details of the economic calendar on June 13

The annual inflation in the United States has slowed to the lowest level since March 2021. The consumer price index has decreased to 4%, below the projected 4.1%. Such optimistic data will likely lead to a pause in the Federal Reserve's interest rate hike cycle. The U.S. dollar is reacting to the data with a local depreciation against major competitors.

Analysis of trading charts from June 13

The EUR/USD exchange rate demonstrated a swift upward cycle and temporarily exceeded the 1.0800 level. The breakout of this level indicates strong buyer interest in continuing the rise, despite a pullback after the initial breakout.

The GBP/USD currency pair not only recovered from the beginning of a weekly decline but also reached a local high of the medium-term upward trend. The quote rose above the value of 1.2600, indicating almost complete recovery of the price from the correction period in May.

Exchange Rates 14.06.2023 analysis

Economic calendar for June 14

Today is one of the most important days of the week as the result of the two-day Federal Reserve System meeting will be announced. According to analysts' forecasts, the regulator may pause the interest rate hike cycle. If this happens, it will indicate a change in monetary policy, which may have a negative impact on the dollar's positions in the medium term. However, it is important to carefully listen to Jerome Powell's speech at the press conference, as his statements will determine the further direction of the financial markets.

Time targets:

Fed meeting results – 18:00 UTC

Fed press conference – 18:30 UTC

EUR/USD trading plan for June 14

If the price remains steadily above the 1.0800 level, it may lead to subsequent upward movement, resulting in a gradual recovery of the euro after the decline in May.

It is worth noting that speculative activity may occur in the market due to the upcoming results of the two-day Fed meeting.

Exchange Rates 14.06.2023 analysis

GBP/USD trading plan for June 14

If the current cycle continues, we might see a new high of the medium-term trend in the near future. However, such rapid growth in the value of the British currency may indicate a possible technical signal of overbought conditions, which could lead to a temporary pullback.

Exchange Rates 14.06.2023 analysis

What's on the charts

The candlestick chart type is white and black graphic rectangles with lines above and below. With a detailed analysis of each individual candle, you can see its characteristics relative to a particular time frame: opening price, closing price, intraday high and low.

Horizontal levels are price coordinates, relative to which a price may stop or reverse its trajectory. In the market, these levels are called support and resistance.

Circles and rectangles are highlighted examples where the price reversed in history. This color highlighting indicates horizontal lines that may put pressure on the asset's price in the future.

The up/down arrows are landmarks of the possible price direction in the future.

*El análisis de mercado publicado aquí tiene la finalidad de incrementar su conocimiento, más no darle instrucciones para realizar una operación.

Gven Podolsky,
Analytical expert of InstaSpot
© 2007-2024
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