- The USD/NIS is trading near the 3.58760 ratio as of this writing, and while this value looks like the continuation of a trend line the currency pair has moved within all week it must be noted that sudden spikes lower have also been seen today.
- Quite frankly I have no explanation for the moves lower, and do not know if they were caused by unbalanced trades.
- Speculators who have been wagering on the USD/ILS may have seen rather unpleasant results hit their trading accounts.
The sudden lightning bolts lower from before must be monitored to see if they continue. A look at a near-term chart shows the USD/NIS spiked to a low of nearly 3.31000 briefly early this morning and then immediately returned to its known range around 3.58000. While it is tempting to say the move lower was a banking transaction error, there have been a few more spikes lower challenging the 3.52000 and 3.54000 vicinities the past handful of hours.
Something odd seems to be afoot and traders should be very cautious about these results if they prove to be correct. Perhaps the moves lower were glitches in the technical charts being reported, but I cannot confirm either and the series of moves hitting lower is not likely to be a mere glitch in reporting.
USD/ILS Return to Higher Elements of Known Values
Putting to the side the sudden dives lower, which were followed by a return to known ranges, also demonstrates the USD/ILS has actually tracked slightly higher since the beginning of this week. The USD/ILS was trading near the 3.53420 vicinity on Monday for a short duration. However in the days that have followed the currency pair has incrementally risen.
Intriguingly the USD/ILS has also moved higher even as the broad Forex market has continued to see weakness continue to be demonstrated by the USD. The results of the past few days show the USD/ILS is not completely correlated to the broad Forex market and the reason for this may be that the currency pair was considered oversold early this week.
Federal Reserve Chairman Powell and U.S Jobs Numbers
Again the moves lower the past ten hours in the USD/ILS, which up until now have not been reported on by news services remain unexplained. Traders should monitor the USD/ILS carefully over the coming hours to make sure the currency pair remains tranquil and within its established price range. Fed Chairman Jerome Powell will be speaking again in Washington today, but his comments yesterday brought no major surprises.
- The Non-Farm Employment Change and Average Hourly Earnings reports from the U.S will be published tomorrow.
- This morning’s spikes lower in the USD/ILS should be kept in mind as traders try to pursue the currency pair today and into tomorrow.
USD/ILS Short Term Outlook:
Current Resistance: 3.59300
Current Support: 3.57970
High Target: 3.61080
Low Target: 3.55100
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