Yesterday’s trading session was not a good one for volatility buyers. The currency pair traded in a price range without any signs of sharp movements. There was almost no significant news yesterday. This was the main reason for the intraday flattish movement. Everyone is looking forward to Ben Bernanke’s speech, which is to be made on Friday, to find out whether there will be QE3.
Today’s news background is fairly rich in major macroeconomic reports. So volatility spikes are highly probable. The following reports expected to be today’s market drivers: the Eurozone’s PMI and economic sentiment and the USA’s new home sales.
The indicators are unlikely to show a considerable value gap between the actual data and the forecasts. However, if it happens it will provoke volatility spikes.
According to the Department of Options, , the main levels of support and resistance are 1.6449 and 1.6565.
