EUR/USD Forecast 08.08.2011

S&P played a bad joke on the financial markets making their downgrade in the late friday evening. This morning EUR jumped up to 1.44, but there lost support and fall back to 1.4280-1.4320 support. It’s still too early to say if the 1.4320-1.4340 resistance is broken or not. Everybody now buys GOLD, it will pass1700 today, and even during writing of this forecast. On Tuesday we have FOMC meeting and today ECB is going to start to buy bonds from Portugal and Ireland, which are already purchased. We shall see if there will be a purchase for any Italian bonds – if there is EUR will go up again. We have resistances @ 1.4340, 1.4380 and 1.4410 – then 1.4520 follows. On the downside we have support @ 1.4280 and then @1.4220-1.4230. Stay tuned for more news and updated on this forecast.