Today the Fed will announce the results of its two-day meeting on monetary policy. This is the key event of the week for the financial markets. Traders are only interested in one question: when will the regulator begin to reduce stimulus measures? Could the Fed announce the QE program cut today, or will it do so at subsequent meetings in November and December?

In my opinion, the monetary authorities will announce the reduction of stimulus at the meeting on November 3, inasmuch as by that time the trend on the labor market will be clear. Current non-farm employment is now 5.3 million less than it was before the pandemic. This is too large a figure to talk about cutting stimulus right now. Maintaining the previous monetary policy will have a positive influence on the quotes of this currency pair.

Trading recommendation: Buy 1.1700/1.1669 and take profit 1.1774.