The Initial Jobless Claims supported the EUR/USD | 12 September 2014

Euro

The European currency tried to set a new maximum, but then declined. The lowering happened due to the news pressure that the Swiss National Bank is preparing to introduce the sub-zero interest rates. Presumably, such a decision can be taken during the meeting on 18 September. The euro/dollar is being consolidated after the falling to 1.2860 and now is being traded in the range of 1.2880-1.2960.

The support levels are 1.2870- 1.2890, and the resistance levels are 1.2960 - 1.2980.

MACD is in a negative territory.

Trading recommendations

The pair either will come out from the oversold conditions and will continue to decline, breaking the range lower bound, or will recover, breaking the current resistance. The further consolidation cannot be predicted, so we advise to trade in the range or to wait for the breakthrough in any direction.

Pound

The British currency has demonstrated the high volatility and has grown to the gap higher border - 1.6280. Mark Carney said that the regulator still considered options for the Monetary Union with Scotland, but only under the certain conditions. During the election campaign the referendum organizers do not affect the Scotland monetary unit future subject. The GBP/USD has been recovered, breaking a number of resistance levels and rising to 1.6280.

The support levels are 1.6180 - 1.6200, and the resistance levels are 1.6300 - 1.6320.

MACD is in a negative territory.

Trading recommendations

The level of 1.6300 break will lead to the further growth which will allow the "bulls" to test the resistance level of 1.6370. It should be noted that before the Scotland referendum we can expect the contradictory information, so the pound growth at any time may be replaced by a fall.

Yen

The Japanese currency was the most vulnerable in the foreign exchange market. Obviously, the dollar sentiment formed under the Fed and the BoJ differently directed monetary policy influence continues to support the dollar/yen. The yen continues to fall against the dollar. The USD/JPY continues trading with a positive sentiment which allowed the "bulls" to test the 107-th figure. Currently this resistance restrained their attack, but after the level of 107.20 testing the pair retreated to 106.70.

The support levels: 106.50- 106.70, and the resistance levels: 107.20- 107.40.

The MACD indicator is in a positive territory.

Trading recommendations

The demand for the dollar is preserved at 106.70, but the currency is still showing the overbought signs which increase the bounce below risk. In this case, the nearest support is on the 106th figure, the loss of which will lead to the decrease to 105.80-105.50.