European Central Bank was predicted to broaden its currency-stimulating policy in December, S&P company suggested last Friday. Meanwhile, they believed a Fed interest rate hike will occur in December as well as four rate hikes in 2016, adding 25 basis points to each interest rate.
EUR/USD
As the EUR/USD continue to trade at a strong bearish momentum, we prefer buying put options until it reaches the area between 1.0530 and 1.0461. Call options should be cautious until we find enough support.
Support:1.0530/1.0461
Resistance:1.0606/1.0625
GBP/USD
Put options can be purchased at the bearish trend and suspend at 1.4893.
Support:1.4893/1.4800
Resistance:1.5058/1.5075
USD/JPY
Seen from the 4-hour chart, the USD/JPY continues to rebound with a weak bullish sentiment. Therefore, we are cautious of buying call options and suspend it at 123.08. Meanwhile, a head and shoulder pattern has been formed, which suggests that call options can not last long.
Support:122.60/122.43
Resistance:123.08/123.59
[Tips]
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