FX forecast for Jan. 29

- [EUR/USD] The international currency market was thrown into turmoil by the so-called PIGS issue and this state will continue to influence the developments on the market and the euro's fall, Financial Brains director, PhD Sveatoslav Mihalache has told Info-Prim Neo. The PIGS problem – an abbreviation from Portugal, Ireland, Greece and Spain – arouses when there is a risk that the rating of these countries will go down (the rating of some of these states already diminished last yearend). Thus, the euro is subject to pressure. Yesterday, the euro reached this year's low, of $1.3918, and is now traded at $1.3940. The support levels stand at $1.3870/80 and $1.3775. If these fears persist, the lower levels could be tested today. Graphics show the euro is overbought for dollars, and Financial Brains will be looking for purchase entries of $1.3880. [USD/MDL] The dollar this week traded at rates ranging from 12.40 to 12.70 lei, both on the interbank market and the cash market. Today, the dollar will be bought for 12.55 – 12.60 lei and sold for 12.68 – 12.73 lei. [EUR/MDL] The euro will be purchased for 17.58 – 17.63 lei and sold at around 17.75 lei. For further details, visit www.fb.md or www.financialbrains.eu.