Forex forecasts and market outlooks

The leading index of the Frankfurt Stock Exchange DAX 30 has been actively declining since the opening of trading and is around 13000.0.

The pair has been showing a slight decline since the opening of the session, trading at 1.3224.

The precious metals market continues to correct after significant gains and the leading assets are still consolidating in narrow ranges. In the current situation, even the slightest fundamental event can become a catalyst for further global growth.

USD is showing active growth against CHF today, testing the level of 0.9130 for a breakout.

EUR declines against USD during today's Asian session, updating local lows of August 12. The instrument loses about 0.50%, testing the level of 1.1750 for a breakdown. USD is supported by the results of the Fed meeting, summed up on Wednesday. As expected, the regulator did not change the parameters of monetary policy, stressing that rates are likely to remain minimal until the inflation target is reached (and exceeded for a certain period of time). At the same time, the head of the regulator Jerome Powell promised to use the full range of available instruments to support the US economy in the face of continuing risks. However, the Fed does not expect inflation of 2% until the end of 2023. The decline in GDP by the end of 2020 will be approximately 3.7%, which is much better than the June forecasts of 6.5%.

Today during the Asian session, the EUR/TRY pair is moderately declining, retreating from record highs, renewed last Tuesday.

The USD/JPY pair declined amid negative investor reaction to the US Federal Reserve's decision, trading at 105.00.

AUD shows moderate decline against USD during today's Asian session, while maintaining a flat direction of trading in the short term.

The pair is in a correction and may grow.

On the daily chart, the third wave of the higher level (3) develops, within which the wave 3 of (3) formed. Now, a local correction is developing as the fourth wave 4 of (3), within which the wave a of 4 has formed, and the wave b of 4 is developing. If the assumption is correct, the pair will grow to the levels of 1.3196–1.3481. In this scenario, critical stop loss level is 1.2757.

The pair is in a correction, a fall is possible.

On the daily chart, the first wave of the higher level 1 of (3) develops, within which the wave iii of 1 formed. Now, a local correction is developing as the fourth wave iv of 1, within which the wave (c) of iv is forming. If the assumption is correct, the pair will fall to the levels of 1.1642–1.1472. In this scenario, critical stop loss level is 1.1903.