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EUR/JPY extends decline below 143.00

 

 

 

FXStreet (San Francisco) - The Euro is declining against the Japanese Yen and after losing around 75 pips from the 143.50 high priced overnight, the EUR/JPY broke the 143.00 level and now it is trading at daily highs around 142.75.

 

Currently, EUR/JPY is trading at 142.87, down -0.06% on the day, having posted a daily high at 143.50 and low at 142.75. The FXStreet OB/OS Index is reflecting neutral hourly conditions, while the FXStreet Trend Index is slightly bearish. RSI is at 28.71, down from the last hourly print at 44.46, with ADX at 24.22, down from its previous close at 27.96.

 

Looking to momentum indicators, the hourly 200 SMA is currently at 142.67, up from the last close at 141.48 and climbing.

 

EUR/JPY levels

 

Spot is presently trading at 142.88, and next resistance can be seen at 142.97 (Weekly High), 143.04 (Hourly 20 EMA) and 143.10 (Yesterday's High). Support below can be found at 142.75 (Daily Low) and 142.01 (Yesterday's Low).

 

 

 

 

 

 

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US EIA Crude Oil Stocks change registered at -2.379M, missing forecasts (1.3M) in March 28

 

 

 

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Apr 02, 2014

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EUR/USD sub 1.38 handle, down -0.19%

 

 

 

FXStreet (Guatemala) - Currently, EUR/USD is trading at 1.3767, down -0.19% on the day, having posted a daily high at 1.3821 and low at 1.3766.

 

The USD is making some ground on a number of bullish developments in the US, breaking down through the 1.38 handle. ADP Employment Change (March) read 191K vs 195K expected. This is positive as it was close to expectations, spurring hopes for a firm US employment report on Friday. The consensus estimate there for Nonfarm payrolls on Friday is for a rise of 200,000. Then, US factory orders rose 1.6% in February, and the market was expecting just a 1.2% rise. Also worth noting, US yields are still rising in the wake of the data, US 10 year notes are up moving towards resistance area seen 2.80/2.82%.

 

EUR/USD downside strength 

 

EUR/USD spot is in oversold territory according to the hourly FXStreet OB/OS Index, while the FXStreet Trend Index is slightly bearish. RSI is in neutral territory at 35.47, down from it’s last hourly close at 37.86, while ADX is ranging above 30 at 18.34, down from 22.44 at the last hourly close. Looking to a daily chart, we see that RSI is neutral at 50.65. The 200 SMA is currently at 1.3789, up from 1.3786 at the last period close, and climbing on the hourly EUR/USD chart. Moving with a range bound trend, the exponential average closing price is 1.3798.

 

EUR/USD Levels

Spot is presently trading at 1.3768, and next resistance can be seen at 1.3768 (Yesterday's Low), 1.3769 (Daily Classic S1), 1.3770 (Hourly 100 SMA), 1.3778 (Weekly Classic PP) and 1.3786 (Hourly 200 SMA). Next support to the downside can be found at 1.3766 (Daily Low), 1.3745 (Daily Classic S2), 1.3741 (Weekly Low), 1.3730 (Monthly Low) and 1.3721 (Daily Classic S3).

 

 

 

 

 

 

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Apr 02, 2014

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USD/JPY for 104?

 

 

 

FXStreet (Guatemala) - Currently, USD/JPY is trading at 103.75, up 0.11% on the day, having posted a daily high at 103.95 and low at 103.58.

 

The dollar is trading at its best level against the Japanese since last January, as noted by the Global Currency Strategy Team at Brown Brothers Harriman. “

“It seems that the combination of Japan’s retail sales tax hike, easing of tensions in both Turkey and Russia, and the firm US data and higher US Treasury yields have lifted the dollar to near JPY104”.

 

US data positive

 

ADP Employment Change (March) read 191K vs 195K expected. This is positive as it was close to expectations, spurring hopes for a firm US employment report on Friday. The consensus estimate there for Nonfarm payrolls on Friday is for a rise of 200,000. Then, US factory orders rose 1.6% in February, and the market was expecting just a 1.2% rise. 

 

USD/JPY Levels

 

Spot is presently trading at 103.75, and next resistance can be seen at 103.79 (Weekly Classic R2), 103.89 (Daily Classic R1), 103.95 (Daily High), 104.13 (Daily Classic R2) and 104.53 (Daily Classic R3). Next support to the downside can be found at 103.73 (Yesterday's High), 103.70 (Hourly 20 EMA), 103.65 (Daily Open), 103.65 (Monthly High) and 103.65 (Weekly High).

 

 

 

 

 

 

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Apr 02, 2014

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Draghi's press conference: Further monetary easing not excluded

 

 

 

FXStreet (Łódź) - Following the ECB Governing Council's decision to keep rates unchanged at the April meeting, president Mario Draghi said at the subsequent press conference that the moderate recovery in the Eurozone is progressing as expected.

 

• “We will monitor all developments and consider all available instruments.”

 

• Further monetary easing is not excluded, Draghi signals.

 

• The ECB head reiterates the the forward guidance policy of maintaining interest rates at current or lower levels for an extended period of time

 

• The Governing Council is unanimous in its commitment to using unconventional instruments within its mandate.

 

• Inflation expected to remain low for a prolonged period of time.

 

 

 

 

 

 

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Apr 03, 2014

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ECB's Draghi signals QE could be used to fight stubborn low inflation

 

 

 

FXStreet (Łódź) - As widely expected, the ECB Governing Council decided to keep interest rates unchanged in April, despite the threat of deflation hovering over the Eurozone. ECB head Mario Draghi said during the subsequent press conference that various unconventional measures were considered during the monetary policy meeting.

 

Draghi said that the Governing Council saw inflation remaining at low levels for an extended period of time before it would gradually start rising towards the ECB's target. He attributed the steady fall in inflation since 2012 to the decrease in food and energy prices.

 

The CPI number in March were surprising and the April result could be uncertain due to the late Easter holiday, which increases demand for services, so the Governing Council is waiting for more data, the ECB chief said. 

 

The Governing Council extensively discussed lowering the refinancing rate, introducing negative deposit rates as well as QE, Draghi revealed. The negative deposit rate was considered in context of maintaining price stability and not pushing down the exchange rate, which is an important factor but not a policy target. This comment pushed the euro down from from high above $1.38 to a low near $1.3740. 

 

Furthermore, Draghi said that the Governing Council was unanimous in its commitment to using both conventional andunconventional instruments to fight low inflation, not just deflation.

 

Marc Chandler, Global Head of Currency Strategy deplored ECB's lack of action pointing out that even if “the ECB is correct and deflation does not materialize for the region as a whole, the persistence of lower than expected inflation and simply low inflation itself has a detrimental effect on investment decisions, growth, and the weight of the debt burden.”

 

Trevor Greetham Director of Asset Allocation and Portfolio Manager of Fidelity’s Multi Asset funds was also critical of ECB's announcement: “This is more monetary-policy-on-the-cheap. The aim is to talk down the euro without actually doing anything.”

 

 

 

 

 

 

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Apr 03, 2014

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GBP/JPY breaks below 172.35

 

 

 

FXStreet (San Francisco) - The Sterling is currently trading lower against the Japanese Yen as the GBP/JPY is extending losses from 173.17 priced overnight to break below 172.35 and posts fresh lows for today around 172.25.

 

Currently, GBP/JPY is trading at 172.33, down 0.22% on the day, having posted a daily high at 173.17 and low at 172.25. The hourly FXStreet OB/OS Index is showing neutral conditions, alongside the FXStreet Trend Index which is slightly bearish.

 

RSI is neutral at 45.25, up from 41.99 at the last hour close, while ADX is trending at 32.78, up from 20.84 previous. 

 

GBP/JPY levels to watch

 

Below the 172.35, next resistances can be seen at 172.67 (Hourly 20 EMA), 172.73 (Weekly High) and 172.78 (Monthly High). Supports can be found at 172.25 (Daily Low), 172.25 (Yesterday's Low) and 172.05 (Hourly 100 SMA).

 

 

 

 

 

 

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Apr 03, 2014

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Latin America EM Express: Brazil central bank raises Selic rate to 11%

 

 

 

In line with market expectations, Brazil's central bank decided to hike its benchmark Selic rate by 25 bp to 11% on Wednesday. It also signaled its readiness to raise it further at the upcoming monetary policy meetings. 

 

According to the official statement the central bank's monetary policy committee, or Copom, "will monitor the evolution of the macroeconomic scenario until its next meeting, in order to then define the next steps in its monetary policy strategy."

 

Brazil's central bank has been tightening policy since April last year, beginning with a 25 bp raise which was follwoed by six consecutibe 50 bp increases and finally this months 25 bp hike. 

 

The BBH Global Currency Strategy Team    believe that even though the Copom "left the door open to further hikes" it would rather not do that "especially if BRL remains around these levels."

 

"The next meeting is May 28, and a move then will depend on how the inflation readings come in," the analysts add. 

 

Economic data

 

Mexico released Consumer Confidence data on Thursday, which showed an improvement to 88.8 in March, from 84.5 seen in February. 

 

Technicals

 

The USD/BRL dropped by 0.38% to 2.2782 on Wednesday. The daily FXStreet Trend Index was strongly bearish, with the OB/OS Index neutral. RSI sat at 31 at the last close, and has headed higher to 55 so far today. Daily 2-StDev Volatility Bandwidth was expanding at 349 pips, with ATR (14) at 277 pips. The 1D 200 SMA was at 2.3076 , while the 1D 20 EMA was at 2.3102.

 

 

 

 

 

 

 

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Apr 03, 2014

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AUD/USD drifting back after poor performances

 

 

 

FXStreet (Guatemala) - Currently, AUD/USD is trading at 0.9232, down -0.17% on the day, having posted a daily high at 0.9256 and low at 0.9206.

 

AUD/USD overnight action

 

AUD/USD had taken a dive from 0.9250 and putting pressure on 0.9210 when Retail Sales from Australia read lower than consensus today at 0.2% vs 0.3% and 1.2% previous. However, there was a turnaround now when the pair spiked to 0.9240 on Chinese data. China services activity growth strengthened to a four-month high, after the HSBC China Services Business Activity Index recorded a rise of 51.9 in March, up from 51.0 in February.

 

BNZ research team said they had been seeing other Australian data print strongly. “The AUD was supported by stellar retail sales, employment, and export data outturns over the month of March, and the RBA’s apparent unwillingness to stand in its way has emboldened its buyers. Also, the RBA declined to talk the AUD lower, leaving the currency atop the league table. 

 

US data wrap effecting AUD/USD

 

Initial Jobless Claims (Mar 28) arrived disappointingly at 326k vs 317k expected.

 

Continuing Jobless Claims (Mar 21) came in better than expected at 2.836M vs 2.840M consensus.

 

Trade Balance (Feb) was up and worse at $-42.30B vs consensus $-38.50B.

 

Markit Services PMI (Mar) arrived at 55.3 vs previous same while ISM Non-Manufacturing PMI (Mar) arrived lower and worse at 53.1 vs 53.5 consensus.

 

AUD/USD Levels

 

Current price is 0.9233, with resistance ahead at 0.9233 (Hourly 20 EMA), 0.9245 (Daily Classic PP), 0.9246 (Hourly 100 SMA), 0.9247 (Weekly Low) and 0.9249 (Daily Open). Next support to the downside can be found at 0.9225 (Daily Classic S1), 0.9223 (Yesterday's Low), 0.9218 (Hourly 200 SMA), 0.9206 (Daily Low) and 0.9202 (Daily Classic S2).

 

 

 

 

 

 

 

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Apr 03, 2014

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USD/CHF soars and is up 0.57% on the day at 0.8912

 

 

 

FXStreet (Guatemala) - Currently, USD/CHF is trading at 0.8912, up 0.57% on the day, having posted a daily high at 0.8929 and low at 0.8843.

 

Before the series of US data, USD/CHF had stabilised at the low seen in December and the 28th February low ahead of 0.8800/0.8777. Now, the pair has moved through the March high at 0.8896. 

 

US data wrap effecting AUD/USD

 

Initial Jobless Claims (Mar 28) arrived disappointingly at 326k vs 317k expected.

 

Continuing Jobless Claims (Mar 21) came in better than expected at 2.836M vs 2.840M consensus.

 

Trade Balance (Feb) was up and worse at $-42.30B vs consensus $-38.50B.

 

Markit Services PMI (Mar) arrived at 55.3 vs previous same while ISM Non-Manufacturing PMI (Mar) arrived lower and worse at 53.1 vs 53.5 consensus.

 

USD/CHF key technical (neutral)

 

Elliott wave count on the 240 minute chart suggests strong support at 0.8815. Looking to candlestick patterns, we can see a Doji formation on the 1-hour chart .Looking to a daily chart, we see that RSI is neutral at 53.78. The 200 SMA is currently at 0.8853, up from 0.8848 at the last period close, and climbing on the hourly USD/CHF chart. Moving with a range-bound trend, the exponential average closing price is 0.8834.

 

USD/CHF Levels

 

With spot trading at 0.8914, we can see next resistance ahead at 0.8918 (Weekly Classic R1), 0.8929 (Daily High), 0.8945 (Daily Classic R3), 0.8951 (Daily 100 SMA) and 0.8965 (Weekly Classic R2). Support below can be found at 0.8911 (Daily Classic R2), 0.8887 (Daily Classic R1), 0.8877 (Monthly High), 0.8876 (Yesterday's High) and 0.8874 (Hourly 20 EMA).

 

 

 

 

 

 

 

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Apr 03, 2014

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USD/CAD up 0.05%; technically soft

 

 

 

FXStreet (Guatemala) - Currently, USD/CAD is trading at 1.1033, up 0.05% on the day, having posted a daily high at 1.1039 and low at 1.1003.

 

USD/CAD has been indecisive, in a range of 40 pips. Strategists at TD Securities noted that, “USD/CAD looks technically soft and short-term trend momentum is bearish but this is not a situation that is reflected in the longer studies so we are unable to come to a “high conviction” bear view at this point. Rather, the charts highlight the rising risk of further losses and the potential for a retest of the 1.09 area”.

 

RSI moving higher although lower momentum

 

Currently RSI is at 61.35, up from the last hourly print at 53.59, with ADX at 20.27, up from its previous close at 17.82. Daily RSI sits at 43.75, in neutral territory. Looking to momentum indicators, the hourly 200 SMA is currently at 1.1027, down from the last close at 1.1088 and declining. Over the past 20 days, the exponential average closing price is 1.1092, and trending lower.

 

USD/CAD Levels

 

Spot is presently trading at 1.1036, and next resistance can be seen at 1.1038 (Hourly 100 SMA), 1.1039 (Daily High), 1.1049 (Yesterday's High), 1.1052 (Daily Classic R1) and 1.1060 (Weekly High). Support below can be found at 1.1033 (Daily Open), 1.1027 (Daily Classic PP), 1.1024 (Weekly Low),1.1024 (Hourly 20 EMA) and 1.1005 (Daily Classic S1).

 

 

 

 

 

 

 

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Apr 03, 2014

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AUD/USD jumps following non-farm payroll numbers

 

 

 

FXStreet (London) - AUD/USD jumped immediately following the release of mediocre US labour market statistics.

 

Total non-farm payroll employment rose by 192k in March, and the unemployment rate was unchanged at 6.7 percent, the US Bureau of Labor Statistics reported today. 

 

Employment grew in professional and business services, in health care, and in mining and logging.

 

The number of unemployed persons was unchanged at 10.5 million, with the unemployment rate holding at 6.7 percent.

 

Strong upward revisions

 

The change in total non-farm payroll employment for January was revised from +129k to +144k, and the change for February was revised from +175k to +197k.

 

While the print represents a strong rebound for the labour market following disruptive US weather conditions and below-normal temperatures at the beginning of the year, the bar had been set high by encouraging ISM and PMI surveys. Consensus expectations had been for a 200k print.

 

AUD/USD spiked to a high of USD0.9283 immediately following the release before retracing to its current levels at USD0.9274, up 0.43 percent on the session and remaining in bullish territory.

 

 

 

 

 

 

 

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Apr 04, 2014

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GBP/USD sell rumour buy the fact

 

 

 

FXStreet (Guatemala) - Currently, GBP/USD is trading at 1.6589, down -0.05% on the day, having posted a daily high at 1.6608 and low at 1.6554.

 

GBP/USD has spent the entire week building up to the jobs numbers from the US and today brings about profits for the ‘smart money’ who had anticipated the data coming in line with the Feds requirements in order to continue on its tapering regime. 

 

GBP/USD Levels

 

Current price is 1.6595, with resistance ahead at 1.6598 (Daily Open), 1.6599 (Weekly Low), 1.6604 (Hourly 200 SMA), 1.6605 (Daily 20 SMA) and 1.6608 (Daily High). Next support to the downside can be found at 1.6588 (Hourly 20 EMA), 1.6585 (Weekly Classic PP), 1.6570 (Yesterday's Low), 1.6559 (Daily Classic S1) and 1.6554 (Daily Low).

 

 

 

 

 

 

 

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Apr 04, 2014

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Gold takes off to the moon

 

 

 

FXStreet (Guatemala) - Gold has taken off post the US labour market details that came out this afternoon in the form of Nonfarm Payrolls.

 

Gold rallied from $1,290.00 and is approaching on last weeks highs, scaling back all of the built up losses over the course of the week and end of last month. The dollar is mixed across the board, with knee jerk reactions and some stability forming some time after the event. 

 

This might be a major 'sell the rumour buy the fact' scenario, or perhaps investors are just not that convinced without data that is proving outstanding until the Fed is able to really be sure that they are on track for needing to manage an economy that is set to grow, requiring a tightening shift in monetary policy. 

 

The yellow mental is testing the 1,300.00 mark out and shows little signs of giving in at this stage having scored an impressive high through $1,302 so far.

 

 

 

 

 

 

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Apr 04, 2014

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Global growth? Not for two years - DB

 

 

 

FXStreet (Guatemala) - Gaël Gunubu, analyst at Deutsche Bank AG explained their view on global growth.

 

Key Quotes:

 

"While we maintain our core view that global growth should pickup meaningfully over the next two years, we have marked down our forecasts relative to last quarter. Broad-based EM downgrades account entirely for these downward revisions". 

 

“Broad-based EM downgrades account entirely for these downward revisions. Most notably, we reduced our growth forecast for China in 2014 by 0.8pp”.

 

“While we continue to look for the recovery in export growth observed in the second half of last year to continue through this year and into 2015, we now expect the government will use this as an opportunity to depress investment in heavy industry even more”.

 

 

 

 

 

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Apr 04, 2014

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Canada Ivey Purchasing Managers Index s.a came in at 55.2 disappointing expectations (59) in March

 

 

 

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EUR/USD pushing lower post NFPs

 

 

 

FXStreet (London) - EUR/USD is extending its decline from the weekly high of 1.3820, to post a monthly low at 1.3676, just below current price action in the aftermath of todays US Employment data.

 

EUR/USD declines as US Jobs slightly miss forecasts

 

Despite an initial jolt to the upside to post a daily high at 1.3731, EUR/USD settled and eventually declined following todays jobs data. US NFPs came in at 192k against forecasts of 200k, alongside US Unemployment sticking to 6.7%.

EUR/USD Technicals

 

Currently, EUR/USD is trading at 1.3677, down -0.30% on the day, having posted a daily high at 1.3732 and low at 1.3675. Daily RSI sits at 42.91, in neutral territory while daily 2-Standard Deviation Volatility Bandwidth is shrinking at 253 pips.

 

EUR/USD Levels

 

Current price is 1.3680, with resistance ahead at 1.3686 (Daily 100 SMA), 1.3698 (Yesterday's Low), 1.3713 (Hourly 20 EMA), 1.3720 (Daily Open) and 1.3720 (Monthly Low). Next support to the downside can be found at 1.3678 (Weekly Classic S1), 1.3676 (Daily Classic S1), 1.3675 (Daily Low), 1.3633 (Daily Classic S2) and 1.3606 (Weekly Classic S2).

 

 

 

 

 

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Apr 04, 2014

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USD/CAD supported near 1.0960

 

 

 

FXStreet (Edinburgh) - The steep pullback in the USD/CAD seems to have bottomed out in sub-1.0960 levels on Friday, now attempting to regain the key 1.10 handle.

 

USD/CAD lower on data

 

The CAD sharply appreciated vs. its southern neighbour after the Canadian jobless rate eased a tad to 6.9% during March, following an unexpected increase of the employment change by 42.9K vs. 20K forecasted. Further upbeat data also saw the Ivey PMI rising to 61.8 in last month from 57.8. “The breakdown from the pennant formation that formed up through late March/early April suggests the potential at least for a repeat of the 270 tick decline from above 1.12 that preceded it. From the breakdown point, that implies scope for a drop to the mid 1.07s over the next couple of weeks”, observed Shaun Osborne, Chief FX Strategist at TD Securities.

 

USD/CAD relevant levels

 

The pair is now retreating 0.42% at 1.0988 with the next support at 1.0955 (low Mar.6) ahead of 1.0911 (low Feb.19) and finally 1.0905 (low Jan.16). On the upside, a breakout of 1.1078 (high Mar.28) would open the door to 1.1095 (weekly Tenkan Sen) and finally 1.1106 (high Mar.27).

 

 

 

 

 

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Apr 04, 2014

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EUR/JPY sticks to intraday highs

 

 

 

FXStreet (Moscow) - EUR/JPY rebounded from the intraday low of 141.10 and reached current levels of 141.70 despite ECB officials jawboning.

Money doesn’t grow on trees, what a pity!

 

Nowotny comments pushed the pair to intraday highs of 141.78 as he said that ECB may use some other tools to stimulate economy apart from the policy rate, only to add that there is no urgency in applying them. And even Mersh with more dovish talk failed to derail the single currency from its upside trend. Alas, investors are not satisfied with just dovish rhetoric, they need real actions. They want money to grow on European trees, and won’t demonstrate a strong reaction to anything but actual steps to that effect. As I wrote in my latest blog post "EUR: Many roads down south", it is obvious that the appreciating euro really had its impact on German economy. The export oriented nature of the largest European economy is sensitive to the exchange rate of national currency, as the rise of the euromakes the goods more expensive, and less competitive on the world market. Though German industrial production came out better than expected today. it is not enough to claim full recovery of this worn out European locomotive, It was the only one that pushed the economy of the currency union last year, now it seems that it needs an overhaul. Let’s hope the European policymakers will get the idea sooner rather than later.

 

What are today’s key EUR/JPY levels?

 

Today's central pivot point can be found at 141.85, with support below at 141.06, 140.58 and 149.79, with resistance above at 142.24, 143.13, and 143.61. Hourly Moving Averages are bearish, with the 200SMA at 141.86 and the daily 20EMA is neutral at 141.66. Hourly RSI is bullish at 19.

 

 

 

 

 

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Apr 07, 2014

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Gold wobbles around $1,300

 

 

 

FXStreet (Edinburgh) - The ounce troy of the precious metal is grinding lower at the beginning of the week, keeping the trade in levels just shy of the $1,300 handle so far.

 

The risk-on sentiment has taken over the markets on Monday following the ‘disappointing’ US Payrolls from last Friday (192K act. vs. 200K esp.), and prompting spot to surrender further ground. After the steep correction lower from March peaks around $1,380, gold found decent support near $1,280 although it seems to lack the vigour to leave behind $1,300 once again.

 

At the moment gold is down 0.25% at $1,300.

 

 

 

 

 

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Apr 07, 2014

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USD/CHF breaks below 0.8900

 

 

 

FXStreet (Córdoba) - The USD/CHF came under pressure and broke below the 0.8900 mark during the European session following higher-than-expected Swiss CPI data.

 

The Swiss consumer price index grew 0.4% in March versus 0.2% expected while YoY CPI was flat versus -0.1% forecast. Coupled with that, USD weakness persists across the board in quite slow Monday trading. The USD/CHF is extending a pullback from the 100-day SMA around 0.8950, having fallen to a low of 0.8883 so far. At time of writing, the pair is trading at the 0.8890 area, recording a 0.3% loss on the day.

 

USD/CHF technical levels

 

In terms of technical levels, if the USD/CHF breaks below 0.8883, next supports could be found at 0.8866 (10-day SMA) and 0.8843 (Apr 3 low). On the flip side, resistances are seen at 0.8945 (100-day SMA) and 0.9000 (psychological level).

 

 

 

 

 

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USD/CAD stalled above 1.1000

 

 

 

FXStreet (Edinburgh) - The intraday ascent of USD/CAD seems to have found strong resistance in the area of 1.1010/00 on Monday, now correcting lower to 1.0985/80.

 

USD/CAD supported near 1.0950

 

The pair is rapidly recovering from post-Payrolls troughs near 1.0950 on Friday, retaking the psychological 1.10 handle although the bull attempt run out of legs near 1.1010. Almost empty docket in Canada today, with the BoC Business Outlook Survey ahead of housing data tomorrow. “A sustained recovery back above 1.1005/10 in our session this morning will provide a little more relief for the USD and possibly pave the way for a rebound to the 1.1075/00 area and help stabilize the recent track lower. We remain broadly positive on the outlook for USDCAD”, noted Shaun Osborne, Chief FX Strategist at TD Securities.

 

USD/CAD levels to consider

 

As of writing the pair is up 0.10% at 1.0993 with the next resistance at 1.1078 (high Mar.28) ahead of 1.1095 (weekly Tenkan Sen) and finally 1.1106 (high Mar.27). On the flip side, a break below 1.0955 (low Mar.6) would aim for 1.0911 (low Feb.19) and then 1.0905 (low Jan.16).

 

 

 

 

 

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USD/CHF feels the force of gravity

 

 

FXStreet (Moscow) - USD/CHF is trading at 0.8860, down -0.20% on the day, having posted a daily high at 0.8881 and low at 0.8850.

 

Where is the bottom?

 

USD/CHF extended the downside during the European session as the Swiss Frank is supported by positive macroeconomic data and heightened anti-risk sentiments. USD is under pressure across the board, that adds to USD/CHF woes. Obviously, we need to see an improvement of the American stock market development and positive US economic forecasts from IMF to reverse this shor-tern bearish USD trend. From the technical point of view the strong support is seen at 0.8850 with fresh demand on approach, The resistance comes at 0.8870 where a number of important technical levels is clustered (0.8871 (Hourly 200 SMA), 0.8871 (Yesterday's Low), 0.8876 (Hourly 20 EMA)).

 

What are today’s key USD/CHF levels?

 

Today's central pivot point can be found at 0.8893 with support below at 0.8857, 0.8835 and 0.8799, with resistance above at 0.8915, 0.8951, and 0.8973. Hourly Moving Averages are mixed, with the 200SMA at 0.8870 and the daily 20EMA bullish at 0.8852. Hourly RSI is bearish at 33.

 

 

 

 

 

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EUR/USD at fresh highs as dollar weakness persists

 

 

 

 

FXStreet (Córdoba) - The EUR/USD spiked to fresh daily highs ahead of the Wall Street opening amid general dollar weakness.

 

The shared currency took advantage of a weak dollar, which is losing ground versus both high-yielding and safe-haven currencies, and climbed to a high of 1.3783 in recent dealings. At time of writing, the EUR/USD is trading at the 1.3775 zone, recording a 0.25% gain on the day. With only second-tier US data scheduled for today, FX market will likely continue to monitor stocks' market, Fed speakers and Ukraine situation.

 

EUR/USD outlook

 

"EUR continues to fade the weakness infused by last week’s ECB meeting, encouraged by comments from some Governing Council members that cast doubts on how unanimous the body actually is towards QE. The Fed Minutes tomorrow might reignite the trek higher in UST yields, helping EUR/USD to resume its path lower", said the TD Securities team. "However, until we cross that bridge, today we might be in for a day of range-trading in the 1.3755/75 area".

 

EUR/USD levels to watch 

 

On the upside, next resistances line up at 1.3800 (psychological level) and 1.3809 (21-day SMA) ahead of 1.3820 (Apr 2 high). On the flip side, supports could be found at 1.3736 (daily low), 1.3700 (psychological level) and 1.3688 (100-day SMA).

 

 

 

 

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USD/JPY extends the decline to 102.20

 

 

 

 

FXStreet (Edinburgh) - The Japanese yen continues its appreciation against the greenback on Tuesday, dragging the USD/JPY to fresh 2-week lows in sub-102.20 levels.

 

USD/JPY capped by 104.00 so far

 

The pair is extending its consolidation pattern although it remains unable to convincingly break above the 104.00 handle despite the recent risk-on context. In the data front, Japanese current account surplus surprised investors to the upside, coming in at ¥612.7 billion in February. Further data showed the BoJ stayed put in today’s monetary policy meeting, matching the broader consensus. Analysts at BBH commented, “BOJ Governor Kuroda continues to signal a desire to look past the sales tax increase and expects the economic recovery not to be derailed. This means that there is no sense of urgency to respond to some immediate weakness. He will likely assume whatever disruption is seen is transitory”.

 

USD/JPY levels to watch

 

The pair is now retreating 0.85% at 102.20 with the immediate support at 102.06 (daily cloud base) ahead of 102.02 (low Mar.28) and finally 101.71 (low Mar.27). On the upside, a breakout of 103.10 (daily cloud top) would open the door to 103.81 (low Apr.3) and then 104.12 (high Apr.3).

 

 

 

 

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