USD flew sharply higher today after the Federal Reserve’s decided to raise interest rates.
While it wasn’t really a surprise to the markets, it was the forecast of 3 more rate hikes coming in 2017 that caused an imaginary stunned silence.
Last week we spoke about EUR/USD reversing out of support and approaching its first point of significant resistance.
Price rejected the level hard and already we’re back to the lows.
EUR/USD 4 hours
At the same time, we had GBP/USD also at resistance.
But after a second push up into the supply zone we identified, it was once again goodnight to the bulls as price couldn’t make any significant higher high.
With the US Dollar trading sharply higher following today’s Fed interest rate hike and 2017 projections, these levels these two pairs are very much in play.
GBP/USD’s risk is more clearly defined, having just rejected out of the resistance zone, but EUR/USD could easily see stops start to be triggered if it breaks that low.
This is a guest post originally appeared on Vantage FX. Reposted with permission.