EUR/USD

The market is waiting this for a struggling IFO numbers from Germany on the recent spike of oil prices. This can have a negative impact on the EURO performance this week but the USD is not in better conditions as the durable goods orders can show the same impact of oil price.
The currency market generally is expected to move in the same side way. Please wait for this week IFO and inflation data from EU.



USD/CHF

CHF is still shrugging off the events in El Najaf but the Oil prices do not and it keeps its creeping up on these events and the currency market is to still to take its key from the oil prices movements and its impact on growth and the prices stability and the rate out look as well. We see a serious try from Greenspan and his legion to contain this impact by tightening their monetary policy which they always is seen accommodative until now by them. We see an absolute slow down in the US growth and this can be seen by the end of the week on the Q2 Personal Consumption. Also we see weak coming US labor data as well in the next months on these high oil prices and the rate out look in US as the Fed is always feeding the market that the current stance is accommodative and it started to ignore the labor data and to focus on the prices and how it can be contained saving the market from failed tries to chasing the oil price further by raising the interest rate. The market has come out from the war last year on a very eased monetary policy across the broad has helped the demand for industrializing and business spending and surely oil which was already at high prices on the weak USD across the broad.




GBP/USD

The pair is still under pressure on the recent weak retail sales data of July and the recent BOE minutes which have shown a peaking up soon to the home prices in UK soon. The pair can be under pressure as there is no coming soon data from UK to change this sentiment but there can be a probability for correcting as last week when the pair has tried again for 1.8345. Please try to wait for any inflation data from UK in the coming weeks.



USD/JPY

JPY is waiting for good number of data this week can move it. Wait for Japan`s Jul Jobless Rate, Aug Consumer Price Index and Jul Trade Balance but the pair is to still to be sensitive to the oil prices movements.



Good Trading Week



FX consultant
Walid Salah El din
http://www.fx-recommends.com
Cairo, Egypt.