On Wednesday morning, the Polish zloty is losing against the main competitors on the Forex market. Today’s session begins with the following changes on currency pairs: GBP / PLN (+ 0.32%), CHF / PLN (+ 0.08%), USD / PLN + 0.32%) and EUR / PLN (+0.09 %). Check the exchange rates on Wednesday, October 19, 2022.
How much is the euro, dollar, pound and franc to the Polish zloty? The USD / PLN exchange rate interrupts the decline temporarily. The dollar is stabilizing at PLN 4.86. EUR / PLN may continue the correction. The single currency fluctuates at PLN 4.78. In the morning, the pound is testing an important support of PLN 5.50. The fundamentals of the British currency remain extremely weak. The CHF / PLN exchange rate hovers below PLN 4.90 again. Is the franc facing re-consolidation?
Currency pair
Course
Name
update date
EUR / PLN 4.7854 EUR 19 October 2022 at 07:20 USD / PLN 4.8652 USD 19 October 2022 at 07:20 GBP / PLN 5.5120 GBP 19 October 2022 at : 07:20 CHF / PLN 4,8862 franc 19 October 2022, time: 07:20
Table of Contents
The EUR / PLN exchange rate was below PLN 4.80. The euro is trying to stop further sell-off
The EUR / PLN currency pair follows the improvement of market sentiment and the raise on the main currency pair (during the US session the euro was close to 0.9875, currently the EUR / USD rate is hovering at 0.9839). The weakening of the zloty following the information that Poland was cut off from EU funds was quickly wiped out. Therefore, the zloty exchange rate continues with a rebound, taking advantage of the firming investment sentiment. Although the information about cutting off EU funds in Poland made it possible to test PLN 4.85 on Monday and PLN 4.82 on Tuesday, the EUR / PLN currency pair ended yesterday below the important support level of PLN 4.80 and it is currently trying to stabilize at 4. PLN 78. Yesterday’s reading of the ZEW was also a little support for the euro. Economists expected that the value of the economic expectations index for Germany published by the ZEW would fall in September from -61.9 points. to an all-time low in October (-66 points). Meanwhile, the data turned out to be better than expected and the indicator slightly increased to -59.2pts. However, there was no enthusiasm, as the value of the assessment of the current economic situation dropped to the lowest level since August 2020 and amounted to -72.2 points. against -68.5 points In the morning, the euro remains below the barrier of PLN 4.80, and the closest support is still around PLN 4.75, strengthened by the 50-day exponential moving average. Alternatively, in the event of further strengthening of the euro, the key will be a return to the area of PLN 4.82 – PLN 4.84. Therefore, it is worth looking at these ranges over the next days, as they should set the direction of the single currency by the end of the month.
Euro rates. The EUR / PLN currency pair as of October 19, 2022
The CHF / PLN exchange rate fell below PLN 4.90. Frank is testing the consolidation zone
In the morning, the CHF / PLN was below the support zone defined by the 50-day exponential moving average in the area of PLN 4.90. Yesterday’s attempts to return above the short-term upward trend line around PLN 5 failed another day, and the Swiss currency returned to the consolidation zone between PLN 4.78 and PLN 4.90, in which the franc was moving from July to September this year. Currently, the CHF / PLN quotations are trying to maintain the support of PLN 4.88 in order to be able to fight for a return above PLN 4.90 in the following days, but the global improvement in sentiment does not serve as a safe haven. Thus, the franc continues the correction, which should push the quotations deeper into the aforementioned consolidation zone over the next few days. The closest support tested today is PLN 4.88, while the dynamic resistance is the zone marked by the 50-day exponential moving average near PLN 4.91, which has already been tested several times and unsuccessfully by bulls in the morning.
Swiss franc quotes. The CHF / PLN currency pair as of October 19, 2022
The dollar bounces in the morning. The USD / PLN exchange rate stabilizes at PLN 4.86
Although on Monday the USD / PLN exchange rate managed to test the level of PLN 4.98, in the following days there was a radical improvement in the market sentiment, which was associated with a significant improvement in indices both on Wall Street and in Europe, and the green one has overestimated since the beginning of the week by more than PLN 0.07.
At the beginning of the week, market sentiment is slightly better due to signals of continuation of loose monetary policy in China, as well as a good start to the US earnings season, which provides optimism. Although US industrial production turned out to be a support for the dollar, it failed to tip the scales to the buyers’ side. In September, industrial production growth in the US unexpectedly accelerated to 0.4%. m / m and 5.3 percent y / y from 0.1 percent m / m and 3.7% y / y The readings therefore show that the US economy is still doing well, and this theoretically legitimizes further moves by the Fed. In the medium term, however, this should not be of great importance for the dollar, as both the FED (which results from the present statements of its members) and investors are offended that interest rates in the US will not increase in the first half of 2023 above the level of 4.75- 5.0%, which is assumed for February. Thus, the dollar surrendered yesterday the PLN 4.90 barrier and although the eyes of European investors are focused on Ukraine, so far, apart from terrorist attacks by Russia, the situation seems to be stable. Yesterday’s lack of recovery by the green support of PLN 4.90 proves that the market is not sure about further steps of the Fed, and all hawkish decisions are already in the currency prices. Thus, if the current sentiment persists in the markets, the dollar may break the level of PLN 4.85, which is the lower limit of the growth channel, leading to tests of the October lows at PLN 4.81.
Dollar quotes. The USD / PLN currency pair as of October 19, 2022
GBP / PLN is trying to bounce back. The policy of the current prime minister does not serve the British currency
GBP / PLN tested yesterday at PLN 5.48 despite morning press speculation that the Bank of England would hold back to the balance sheet reduction program (QT) until it is sure that the situation on the debt market is stabilized. BOE representatives quickly denied these rumors. The BP / PLN exchange rate headed south also after the disclosure of the ideas of some Conservative Party MPs who are to seek to dismiss Prime Minister Liz Truss from the position of party leader, despite the fact that she was appointed a month ago. The political earthquake in the islands continues and therefore the risk of early parliamentary elections is increasing. The current economic issues have been taken over by the new Chancellor of the Treasury, Jeremy Hunt, who plans to cut the government’s plan to help households. Yesterday’s session was volatile for the pound. In the morning, on the wave of optimism, the pound price tested the resistance of PLN 5.56. However, this situation did not last long, so the GBP / PLN pair ended the day below the important support level of PLN 5.50 and stabilized only at the 200-day exponential moving average around PLN 5.48. However, the zloty benefits from a significant improvement in global sentiment, and from a technical point of view, the pound continues to consolidate, which may soon turn into a new downward trend. Thus, in the following days we can observe a strengthening of the zloty, and the GBP / PLN pair is able to go down to the important support area of PLN 5.50, even though it rebounds above PLN 5.51 in the morning.
Pound quotes. The GBP / PLN currency pair as of October 19, 2022 Follow us on Google News. Search for what’s important and stay up to date with the market! Watch us >>
