EUR to USD

The single currency dropped to another 14-month slump versus the generally stronger dollar last week on the premise that the US Fed will be increasing interest charges.

EUR to USD was behind 0.71% to 1.2830 which was the lowest level since July of last year.

The president of the European Central Bank (Mario Draghi) is scheduled to turn up during the meeting of the Economic and Monetary Committee European Parliament in Brussels, Belgium. The United States federal government will be releasing private sector data due to current home sales.

The euro zone is set to circulate initial data on private sector activity. On the other hand, the governments of France and Germany will also make known data on private sector development.

The IFO Institute for Economic Research based in Munich will also make available its report on the German business environment.

The US will publish data regarding fresh home sales.

At the same time, the ECB will give out data on money supply (M3) as well as private loans.

News reports said that the United States will recap the week with modified data on GDP. This is the largest indicator of economic activity and foremost measure of the economy’s health.

Investing in Bitcoin

ufx.com - bitcoinsMore investors are looking at crypto currencies as the bitcoin becomes more popular.

The virtual currency has already seen a phenomenal growth in 2013. This digital currency is done by computers which create a series of unique numbers using intricate mathematics problems. This is sold on free exchanges. It is acceptable to individuals and enterprises due to the speed and low transaction cost.

As of September 18, the bitcoin is now valued at approximately $437. Some crypto coins have lesser value. However, the interest is increasing for crypto currencies especially as prospective investments.

According to an online publication (Coin Desk) which monitors digital currencies, there will be roughly eight million trading accounts in bitcoin known as “wallets.” Right now, some 100,000 private firms accept bitcoin.

Market experts say that the digital currency has potential high returns but there are also probabilities for high instability and low prospects for being liquid.

Compared to conventional currencies, bitcoins are not printed or supported by any government. These are created by people and businesses making use of sophisticated computers. Makers of bitcoin can keep a portion as compensation for their services. The rest are sold on uncontrolled exchanges.

Movements of digital currencies are published in a financial record book for monitoring of overall monetary supply. Said ledger can be found on Internet cloud as collaborative document instead of a centrally-managed account. Bitcoin users employ this mechanism for purchases, transferring money and speculations.

Other currencies came out of bitcoin technology and put in enhancements on that platform.

USD/JPY Pair Movement

USDJPY showed yesterday that its trajectory price stayed in a reasonably neutral leap attaining 108.32:108.95 while any lower expectations did not materialize. Yesterday, they predicted that today higher movement will continue finding meanwhile, support from session highs of 108.87. The buying pressure as indicated by Directional Movement pictured the remains to stay high while ADX trend continues to stay vigorous as well; however, there is no security that overbought conditions continue and it really went deeper since yesterday. RSI levels for both the hourly and the daily are important events to watch. For today, amend the targeting levels of 107.50 before resuming a wider uptrend.

The levels of RSI eased lower on the hourly chart following a consolidation just off 109 levels, despite the persisting conditions appearing on the daily charts. In the near term, lower correction still remains on the cards in the near term. Failing to break over109.45 today will again result to lowering of price drift lower with initial support from intraday that is seen at 108.66/108.35/108.02.

USD/JPY Pair

ufx.com - USD/JPY PairIn the Asian front, Japan will soon release its All Industries Activity m/m, while the United States will be publishing some economic data as the CB Leading Index m/m. This will offer a big possibility that during the day, USD/JPY will be moving with low volatility.  For the present, technical levels are: (1) Resistance at 3: 109.05; (2) Resistance at 2: 108.84; (3) Resistance at 1: 108.63; (4) Support at 1: 108.36; (5) Support at 2: 108.15; (6) Support. 3: 107.94; and (7) Disclaimer at Trading Forex or foreign exchange carrying a margin high level of risk that may not be apt for all investors. Working against you or for you is a leverage having high degree.

If you have plans investing in any foreign exchange, be sure to consider the following: objectives of the investment; degree of experience; and level of your risk appetite. There is even a possibility that you will lose some or even all of your initial investment; therefore, never invest any money that you cannot afford to lose. Remember that there are many risks related with foreign exchange trading. It is better to seek the counsel from a certified financial advisor if you have any uncertainty.