2023-04-19 09:26

Market Update - 19 April 2023 USD/CAD picks up bids to pare recent losses, defends the previous week’s rebound from two-month low. Canada inflation softens in March, BoC Governor Tiff Macklem fails to convince markets of hawkish bias. Oil price fails to cheer softer US Dollar, upbeat China data and API inventory draw. Second-tier Canada, US data and Fed’s Beige Book will be in focus for intraday directions, risk catalysts are the key. The index picks up some pace and trades close to 102.00. US yields remain firm in multi-week levels so far on Wednesday. Weekly Mortgage Applications next on tap in the docket. The USD Index (DXY), which tracks the greenback vs. a bundle of its main competitors, manages to reverse Tuesday’s weakness and advances to the proximity of the 102.00 region on Wednesday. NZD/USD is gently marching towards 0.6220 amid a subdued performance in the USD Index. S&P500 futures have extended their losses as investors are worried about further performance from equities. NZ inflation is expected to get stubborn further despite higher rates by the RBNZ. USD/JPY seeks fresh direction after reversing from the highest levels in five weeks. Downbeat US data surpsede hawkish Fed talks and weigh on US Dollar, Treasury bond yields. Japan’s Reuters Tankan survey flashes unimpressive figures while BoJ officials defend easy-money policy. Risk catalysts eyed for clear directions, yields, central bank talks are the key for fresh impulse. AUD/USD has shown a recovery move amid a soft performance by the USD Index. The RBA minutes showed that policymakers were actively discussing a rate hike but concluded the meeting with steady interest rates. AUD/USD is auctioning in an Inverted Flag that displays a long consolidation and is followed by a breakdown. EUR/GBP has printed a fresh day's high at 0.8836 amid hawkish ECB bets. Eurozone’s inflation is extremely persistent amid labor shortage so favors a big rate hike ahead. March’s UK inflation data holds significant importance as it will be the last before BoE’s May policy meeting. NZD/USD takes offers to refresh intraday high while reversing below 50-DMA. Steady RSI, 200-DMA can challenge short-term Kiwi bears. Buyers need validation from previous support line from early March. USD/CHF is making efforts for recovery after defending the critical support of 0.8960. S&P500 futures have shown nominal losses in Asia amid anxiety over earnings data. Fed Bostic favored one more rate hike and then holding them above 5% for some time. EUR/USD reverses from intraday high, fades the previous day’s bounce off one-week low. Fed, ECB policymakers remain hawkish but divergence between US and European data, yields weigh on greenback. Geopolitical fears, cautious mood ahead of US debt ceiling plan prod Euro pair buyers. Final readings of Eurozone inflation, Fed Beige Book eyed for fresh impulse. GBP/USD takes the bids to refresh intraday high as UK inflation rises in March. UK CPI came in 10.1% YoY in March versus 9.8% expected and 10.4% prior. EU’s Brexit incentive, hawkish Fed/BoE rhetoric join geopolitical fears to prod CAble bears. US PMI, UK Retail Sales and Fed Beige Book are the key catalysts to watch for clear directions. GBP/JPY has climbed above 167.35 as UK headline inflation remained above a double-digit figure vs. consensus of 9.8%. The collaborative impact of surprise upside in the UK labor cost index and accelerated inflation would force BoE to raise rates further. BoJ Ueda has supported buying government debt as part of monetary policy USD/MXN braces for the first daily loss in four. U-turn from key SMAs, steady RSI (14) keeps Mexican Peso buyers hopeful. Clear downside break of fortnight-old support becomes necessary for pair bears to aim for 2017 low. USD/CNH treads water around 6.8800 for the second consecutive day amid mixed catalysts. PBOC is likely to defend current monetary policy even if easy measures are preferable in China. Hawkish Fed bets, upbeat China data and geopolitical tension surrounding Taiwan, Russia also prod offshore Chinese Yuan traders. USD/INR has printed a fresh weekly high at 82.11 amid a recovery in the USD Index. The Fed is not expected to pause rate hikes sooner despite a deceleration in inflation and easing labor market conditions. The Indian Rupee is failing to show resilience despite the buying spree from FIIs. WTI crude oil remains sidelined after posting a price-reversal suggesting candlestick the previous day. U-turn from 10-day EMA, firmer RSI (14) also keeps WTI buyers hopeful. 200-day EMA, easing bullish bias of MACD prods upside expectations. Double tops around $83.30-40 appear a tough nut to crack for Oil bulls to retake control. Natural Gas price retreat from the highest levels in one month to print the first daily loss in three. US Dollar recovery, talks of enough gas supplies in UK and warmer weather in the West also prod XNG/USD bulls. Geopolitical fears, hawkish Fed bets underpin USD rebound amid sluggish session. Gold price grinds higher after snapping two-day losing streak the previous day. Softer United States data contrasts with upbeat China statistics to underpin XAU/USD rebound. US Treasury bond yields, US Dollar bear the burden of downbeat data, anxiety ahead of United States debt ceiling plan. Gold buyers need support of risk-on mood to refresh YTD high. Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-04-18 09:19

Market Update - 18 April 2023 EUR/USD is showing a sideways move around 1.0926 following the footprints of the USD Index. ECB policymakers are divided over the scale of the interest rate hike to be announced in May. The major currency pair has dropped below the upward-sloping trendline plotted from 1.0714. (FXStreet) The index reverses two daily pullbacks and revisits 102.00. The risk-on trade seems to prevail early in the European session. Housing data, Fed’s Bowman next on tap later on Tuesday. The greenback trades slightly on the defensive and returns to the 102.00 neighbourhood when tracked by the USD Index (DXY) on turnaround Tuesday. (FXStreet) AUD/NZD picks up bids to reverse the early losses on RBA Minutes. RBA Minutes appear slightly hawkish while justifying the pause in rate hike trajectory. China Q1 GDP, risk catalysts and New Zealand’s quarterly inflation data are the key for clear directions. (FXStreet) AUD/JPY has surpassed the critical resistance of 90.30 post the release of RBA minutes. RBA paused the policy-tightening spell to allow time to gather more information. The BoJ has anticipated inflation in a range of 1.6-1.9% for CY2025. (FXStreet) AUD/USD initially refreshed intraday high before recently easing from the top. RBA Minutes fail to convince market players of policymakers’ hawkish capacity. China data dump portrays solid economic transition of Australia’s biggest customer. Sluggish markets, hawkish Fed bets exert additional downside pressure on AUD/USD price. (FXStreet) USD/JPY consolidates its recent gains to a multi-week high touched earlier this Tuesday. A modest USD weakness turns out to be a key factor acting as a headwind for the major. Elevated US bond yields favour the USD bulls and help limit the downside for the pair. (FXStreet) EUR/USD picks up bids to refresh intraday high, snaps two-day downtrend amid sluggish session. US Treasury bond yields, Dollar Index struggle to defend latest recovery ahead of active economic calendar. Hawkish Fed bets, ECB policymakers’ indecision keep Euro bulls hopeful. Eurozone, German ZEW sentiment data, US housing numbers to direct intraday moves. (FXStreet) GBP/JPY grinds near intraday high during three-day uptrend ahead of UK employment statistics. Seven-week-old ascending resistance line challenges buyers amid nearly overbought RSI (14). Multiple failures to cross immediate trend line resistance join price-negative RSI conditions to tease sellers. 10-DMA restricts immediate downside, 161.00 appears a tough nut to crack for GBP/JPY bears. (FXStreet) EUR/GBP extends the previous day’s pullback from three-week high. UK Claimant Count Change improved to 28.2K in March, ILO Unemployment Rate rose to 3.8% in three months to February. ECB policymakers’ indecision joins cautious mood ahead of EU/German ZEW data to prod EUR/GBP traders. (FXStreet) USD/CAD has gauged an intermediate cushion around 1.3380 as focus shifts to Canada’s Inflation. Stubborn US core inflation is still a cause of worry for Fed policymakers. A continuous decline in Canada’s inflation will allow the BoC to keep rates steady. (FXStreet) NZD/USD initially refreshed intraday high before retreating of late. China Q1 GDP matches market forecasts, Retail Sales and Industrial Production also improve in March. Hawkish Fed bets, cautious mood ahead of New Zealand Q1 CPI prod Kiwi pair buyers. (FXStreet) USD/JPY prods two-day uptrend as it eases from multi-day high. Fears that Japan’s fiscal policy, recent bond buying challenge BoJ’s ultra-loose monetary policy check Yen pair buyers. Hawkish Fed bets, upbeat US data favor yields, US Dollar despite latest pullback in prices. Second-tier US data, risk catalysts eyed for clear directions. (FXStreet) GBP/USD is marching towards 1.2400 ahead of UK labor market data. March’s UK Employment data will have a significant impact on the interest rate decision by the BoE. A mind correction in the USD Index to 102.00 has provided some support to the cable. (FXStreet) USD/CHF has gyrated in a wide range after the release of upbeat China’s GDP data. China’s robust retail demand shows that the economy will come out of the disinflationary process. S&P500 futures are showing topsy-turvy moves ahead of US banks’ earnings report. (FXStreet) USD/MXN struggles for clear directions as it flirts with short-term key support. Multiple Doji candlesticks, sluggish oscillators suggest Mexican Peso buyers run out of steam. USD/MXN needs validation from 21-day EMA to convince short-term (FXStreet) USD/INR struggles to extend two-day rebound from the lowest levels in 11 weeks. One-month-old descending resistance line, 200-SMA challenge Indian Rupee sellers. Multiple bottoms around 81.50, bullish MACD signals keep pair buyers hopeful. (FXStreet) WTI crude oil clings to mild gains while paring the biggest daily loss in a month. China data adds strength to the corrective bounce in Oil price. Bearish MACD signals, 50-SMA challenges buyers but further downside needs validation from previous resistance line from January. (FXStreet) Natural Gas price remains sidelined at the highest levels in a month after rising for the last two consecutive days. Cautious markets ahead of the key data, lack of major news prod XNG/USD traders. US debt ceiling plan, China Q1 GDP and the US PMI are crucial for short-term Natural Gas Price directions. (FXStreet) Gold price is probing the $2,000 near a 61.8% Fibonacci retracement. Gold price bears are on the prowl at key resistance. Gold price remains in the key support area in Asia with the bulls probing the bearish commitments at the psychological $2,000/oz level. XAU/USD has moved up from a low of $1,993.41 to score a high of $1,999.41 so far. (FXStreet) Silver edges higher on Tuesday and stalls a two-day corrective decline from a one-year top. The technical setup still supports prospects for the resumption of a one-month-old uptrend. A convincing break below the $24.00 mark is needed to negate the near-term positive bias. (FXStreet) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-04-17 09:18

Market Update - 17 April 2023 GBP/USD takes offers to renew intraday low, extends the previous day’s pullback from 10-month high. Talks of BoE’s likely changes to deposit guarantee scheme, UK Chancellor Hunt’s fears from US subsidies weigh on Cable pair. Upbeat US data, Fed talks push back bets on rate cuts, policy pivot and underpin US Dollar’s corrective bounce. Slew of UK data, US PMIs to entertain GBP/USD traders during the week. (FXStreet) The index climbs to the 101.80 during early trade on Monday. The Fed is likely to hike rates by 25 bps at the May 3 gathering. NAHB Index, TIC Flows, NY Empire State index next on tap. The greenback gives away gains to the 101.80 region recorded earlier in the Asian trading hours and returns to the 101.60 zone when gauged by the USD Index (DXY) on Monday. (FXStreet) EUR/GBP has sensed barricades while attempting a break above the 0.8860 resistance.UK Hunt is confident that their economy will outperform this year. ECB Lagarde cited that Eurozone inflation would soften gradually ahead. (FXStreet) AUD/USD consolidates the biggest daily loss since early March with mild gains, grinds near intraday high of late. US Dollar seeks fresh clues to extend previous day’s rebound from one-year low. China-linked headlines, light calendar allow Aussie pair buyers to reverses the pullback from multi-day top. RBA Minutes, China Q1 GDP and US PMIs are in the spotlight for fresh impulse. (FXStreet) USD/CHF retreats from intraday high, fades the previous week’s rebound from early 2021 levels. Three-day-old resistance line, 100-EMA restrict immediate upside amid nearly overbought RSI. Receding bullish bias of MACD signals also extend downside pressure on Swiss Franc pair. Resistance-turned-support from April 10 puts a floor under the prices for intraday. (FXStreet) EUR/USD picks up bids from intraday low amid two-day pullback from the highest level in a year. Doubts about US debt default, hawkish ECB talks and economic recovery hopes underpin Euro pair’s corrective bounce. Mostly upbeat US data, Fed comments push back odds of Fed policy pivot, rate cuts and defend EUR/USD bears. Speech from ECB’s Lagarde can entertain intraday traders, preliminary PMIs are the key. (FXStreet) USD/CAD has dropped below 1.3350 amid exhaustion in the upside momentum of the USD Index. Federal Reserve to hike rates despite softening of US Retail Sales as the core inflation is extremely stubborn. Bank of Canada might continue its neutral stance on interest rates if inflation continues to decline ahead. USD/CAD is declining towards potential supports placed at 1.3267 and 1.3226 respectively. (FXStreet) USD/JPY is at a make or a break level around 134.00 amid the Ascending Triangle formation. Multiple economic indicators are conveying that Fed would pause its policy-tightening spell sooner. The USD Index has sensed selling pressure while extending its upside above the immediate resistance of 101.8. (FXStreet) GBP/USD has shown some recovery as USD Index fails to extend recovery. Decelerating the UK labor cost index will provide some relief to BoE policymakers. US Retail Sales report showed that demand for costly items, which involves the cost of financing remained weak, remained weak. (FXStreet) GBP/JPY prints mild gains within bearish chart formation. Downbeat MACD signals, clear break of three-week-old previous support line keeps sellers hopeful. 100, 200 SMAs can prod bears before directing them to theoretical target of 162.30. Bulls need to cross the 167.00 hurdle to retake control. (FXStreet) USD/INR is looking to extend its recovery above 82.00 amid a recovery in the USD Index. A consecutive 25bp rate hike is highly anticipated as US core inflation has shown evidence of extreme stubbornness. India's FX reserves jumped to a 9-month high of $584.76 bln for the week ended April 7. (FXStreet) USD/MXN holds lower grounds after breaking five-week-old key support line. Bearish MACD signals, absence of oversold RSI conditions keep Mexican Peso buyers hopeful of targeting 17.80. July 2017 low becomes crucial support for USD/MXN bears to watch. Buyers remain off the table below 200-SMA hurdle, support-turned-resistance line from March guards immediate upside. (FXStreet) WTI crude oil fails to cheer US Dollar retreat as it drops towards intraday low. Concerns that higher Oil price, challenges to economic growth can recall WTI bears. China Q1 GDP, preliminary readings for April’s US PMIs will be in focus. (FXStreet) Natural Gas price fades bounce off the lowest levels since August 2020. Three-week-old bearish channel, 200-SMA prods XNG/USD’s corrective bounce. Bullish MACD signals, short-term SMA confluence puts a floor under the Natural Gas price. (FXStreet) Gold price remains indecisive after luring bears the previous day. US Dollar tracks Treasury bond yields amid mixed concerns about recession, US debt ceiling talks. China-linked headlines, light calendar adds strength to the XAU/USD inaction. US PMIs, central bank talks will be important to watch for clear directions. (FXStreet) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-04-14 09:25

Market Update - 14 April 2023 USD/CHF drifts lower for the fourth straight day amid sustained USD selling bias. Expectations for an imminent Fed rate-hike-pause drag the USD to a one-year low. Looming recession risks benefit the safe-haven CHF and contribute to the downfall. (FXStreet) EUR/USD is looking to capture the critical resistance of 1.1100 as the risk-on mood strengthens. Federal Reserve is expected to reconsider further rate hikes amid softening US CPI and PPI and easing labor market. European Central Bank is divided over the pace of policy-hiking to arrest core inflation. EUR/USD is eyeing a seventh consecutive bullish weekly closing amid the declining US Dollar Index. (FXStreet) The index deflates below the 100.80 mark, or new YTD lows. Markets continue to price in a potential pause by the Fed. Retail Sales, Industrial Production, Consumer Sentiment next on tap. The greenback extends the weekly decline and prints new yearly lows in the 100.80/75 band when tracked by the USD Index (DXY) at the end of the week. (FXStreet) USD/JPY remains on the defensive amid the prevalent selling bias around the USD. Expectations for an imminent Fed rate-hike pause drag the USD to a one-year low. The BoJ’s dovish outlook holds back bears from placing fresh bets and lends support. (FXStreet) USD/CAD holds lower grounds at two-month bottom, down for the fifth consecutive day. WTI crude oil struggles to recover amid sluggish data, mixed OPEC update. US Dollar Index drops to the lowest levels since late April 2022 as Fed hawks retreats amid easing inflation. US Retail Sales, Michigan CSI and UoM 5-year Consumer Inflation Expectations eyed for fresh impulse. (FXStreet) GBP/USD seesaws near the highest levels since June 2022 during four-day uptrend. Clear upside break of eight-day-old horizontal resistance, now support, hints at further advances of the Cable pair. Multiple key FE levels, mid-2022 peak can challenge buyer inside megaphone trend-widening pattern. (FXStreet) AUD/USD is consolidating below 0.6800 as investors await US Retail Sales for further guidance. The USD Index has printed a fresh 11-month low at 100.78 amid rising fears of recession in the US economy. Upbeat Australian Employment data has renewed fears of more rate hikes from the RBA. (FXStreet) GBP/JPY is juggling around 166.00 amid a restrictive upside on hopes that UK inflation will start declining sooner. Higher rates from the BoE are forcing firms to postpone their expansion plans. BoJ Ueda is advocating the continuation of an already decade-long ultra-loose monetary policy to sustain wage growth. (FXStreet) EUR/GBP is looking to recapture 0.8840 as the ECB is also considering the option of a 50 bps rate hike ahead. Eurozone core inflation is extremely persistent due to tight labor market conditions. The Pound Sterling is facing pressure as BoE policymakers are confident that inflation will start decelerating quickly. (FXStreet) USD/CNH takes offers to renew multi-day low during three-day downtrend. Clear break of 2.5-month-long ascending trend line direct offshore Chinese Yuan buyers towards 6.8100. Recovery remains elusive below 100-DMA; previous monthly high is the key upside hurdle. (FXStreet) USD/MXN retreats from intraday high, snaps two-day losing streak. Three-week-old descending trend line restricts immediate upside ahead of the key SMAs. RSI pokes short-term resistance line during eight-day-long bearish trend, suggesting return of upside momentum. Rising support line from early March, YTD low joins downbeat RSI to challenge Mexican Peso buyers. (FXStreet) USD/INR remains pressured at 11-week low, down for the third consecutive day. Clear downside break of ascending trend line from late January, bearish MACD signals favor Indian Rupee (INR) buyers. Convergence of 200-DMA, five-month-old rising support line restricts immediate downside of USD/INR. Indian Rupee sellers remain off the table below 82.10. (FXStreet) WTI remains pressured after reversing from five-month high the previous day. Convergence of previous resistance line from December 2022, 200-EMA restricts immediate declines. 61.8% Fibonacci retracement, 100-EMA act as additional downside filter. Bulls need daily closing beyond $84.80 to restore confidence. (FXStreet) Natural Gas price picks up bids to refresh intraday high, snaps two-day downtrend. Higher low of XNG/USD price contradicts with lower lows of RSI to suggest further recovery. Immediate resistance line holds the key to further upside, weekly top prods Natural Gas buyers. XNG/USD bears need validation from $2.12 to retake control. (FXStreet) Gold price remains firmer at 13-month high, braces for two-week uptrend. Easy United States inflation, Fed policy pivot talks weigh on US Dollar and propel XAU/USD. US Retail Sales, Michigan Consumer Sentiment Index and Consumer Inflation Expectations eyed for immediate Gold price directions. (FXStreet) Silver pulls back from a fresh one-year high touched earlier this Friday amid overbought RSI. The technical setup still favours bulls and supports prospects for a further appreciating move. Any meaningful corrective slide might still be seen as a buying opportunity and remain limited. (FXStreet) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.

2023-04-13 09:37

EUR/USD climbs to fresh monthly highs above 1.1000. Final CPI in Germany matched the preliminary readings in March. US Producer Prices, Initial Claims take centre stage later in the session. (FXStreet) USD/JPY oscillates in a narrow trading band and is influenced by a combination of diverging forces. Bets for an imminent pause in the Fed’s rate-hiking cycle weigh on the USD and act as a headwind. The BoJ’s more dovish outlook caps gains for the JPY and limits any meaningful slide for the major. (FXStreet) GBP/USD is getting a small lift from today’s UK data and from a marginally weaker US dollar. The greenback fell yesterday after US headline inflation fell for the ninth month in a row to 5%, vs expectations of 5.2%. While inflation slowly falls, the US economy may enter a mild recession, according to yesterday’s FOMC minutes. According to the report, the recent banking crisis may push the economy into a mild recession later in the year due to tighter bank lending conditions. While this will slowdown economic activity, it will also weigh on inflation. (DailyFX) AUD/USD scales higher for the third straight day and touches over a one-week high. The upbeat Australian jobs data, along with the weaker USD, lend support to the pair. Expectations for an imminent Fed rate hike pause drag the USD to a two-month low. (FXStreet) The Bank of Canada (BoC) left its policy rate unchanged at 4.5% following its April meeting as expected. In the policy statement, the BoC reiterated that the Governing Council will continue to assess whether monetary policy is sufficiently restrictive, adding that they remain prepared to raise rates if needed. USD/CAD closed the third straight day in negative territory and continued to push lower on Thursday. The pair was last seen trading at its lowest level in over a month at around 1.3400. (FXStreet) NZD/USD has remained lackluster despite the release of solid China Trade Balance data. China’s annual Imports have contracted by 1.4% while Exports have expanded significantly by 14.8%. The Kiwi asset has been in a negative trajectory after a breakdown of the Rising Channel. (FXStreet) GBP/JPY edges higher for the sixth straight day, albeit lacks follow-through buying. The mixed UK macro data is holding back the GBP bulls from placing aggressive bets. Looming recession risks benefit the JPY and contribute to capping gains for the cross. (FXStreet) USD/INR remains sidelined after snapping three-day downtrend the previous day. IMF expects India to lead global growth numbers, softer CPI appears already priced in. Downbeat US inflation numbers, unimpressive Fed Minutes weigh on US Dollar. Risk catalysts, more inflation clues eyed for clear directions. (FXStreet) USD/CNH holds onto the previous day’s bearish bias after China trade numbers. China’s January–March Exports grew 8.4% YoY, Imports increased 0.2% YoY in Yuan terms. Broad-based US Dollar weakness, optimism from China exerts downside pressure on USD/CNH prices. (FXStreet) USD/CHF drifts lower for the third straight day and drops to its lowest level since June 2021. Expectations for an imminent Fed rate-hike pause weigh on the USD and exert some pressure. Looming recession fears benefit the safe-haven CHF and contribute to the ongoing downfall. (FXStreet) Natural Gas remains sidelined after falling the most in a month. Mixed concerns surrounding recession, Fed and US dollar trouble XNG/USD traders. Bears keep the reins amid hopes of warmer weather in the West, less demand of Russian gas. EIA Natural Gas inventories, US inflation clues eyed for further directions. (FXStreet) CME Group’s flash data for crude oil future markets noted traders reversed three consecutive daily pullbacks and increased by around 22.4K contracts on Wednesday. In the same direction, volume rose for the third session in a row, this time by almost 186K contracts. WTI: Further gains likely above the 200-day SMA. (FXStreet) Gold price surged higher with the immediate reaction to US inflation data on Wednesday but erased a large portion of its daily gains amid recovering US yields. XAU/USD seems to have regained its traction early Thursday and it was last seen trading in positive territory above $2,020. (FXStreet) Silver price remains firmer around the highest levels in a year, seesaws of late. Clear upside break of previous key resistance lines, bullish MACD signals favor buyers to aim for April 2022 high. Overbought RSI can test the XAG/USD bulls around $26.00 round figure. (FXStreet) Bitcoin registered small losses on Wednesday before stabilizing near $30,000 on Thursday. Ethereum gained more than 1% on Wednesday and edged slightly higher early Thursday. At the time of press, ETH/USD was up marginally on the day at $1,930. (FXStreet)

2023-04-12 09:29

Market Update - 12 April 2023 USD/JPY climbs to a four-week high on Wednesday, though lacks follow-through. The fundamental backdrop still supports prospects for additional near-term gains. Traders now look to the US CPI and FOMC minutes for some meaningful impetus. (FXStreet) AUD/USD picks up bids to renew intraday high, extends the previous day’s rebound from one-week low. Australian Treasurer Chalmers reject recession woes despite suggesting drastic economic slowdown, RBA’s Bullock fails to gain attention. China-linked optimism, Fed policymakers’ receding hawkish bias also propel Aussie prices. US CPI, FOMC Minutes will be crucial to watch for clear directions as RBA’s rate-hike pause prods AUD/USD bulls. (FXStreet) The index remains on the defensive and hovers around 102.00. Bets on a 25 bps rate raise by the Fed in May remain on the rise. US inflation figures tracked by the CPI will take centre stage. The greenback, in terms of the USD Index (DXY), adds to Tuesday’s losses and keeps the trade around the 102.00 neighbourhood on Wednesday. (FXStreet) EUR/USD has printed a fresh four-day high at 1.0935 as US Dollar corrects sharply ahead of US Inflation. Anticipation of the quick softening of US inflation has weighed heavily on the USD Index. The ECB would continue hiking rates as Eurozone inflation is extremely persistent. (FXStreet) GBP/USD grinds higher after crossing one-week-long descending trend line, up for the second consecutive day. Looming bull cross on MACD, sustained trading above short-term key support line, 100-SMA favor Cable buyers. Bears need validation from 1.2180 to retake control. (FXStreet) USD/CAD prints three-day downtrend amid firmer Oil price, broad US Dollar weakness amid sluggish markets. Downbeat Fed signals join cautious optimism elsewhere to weigh on US Dollar. Oil price cheers softer greenback, hopes of more energy demand and supply crunch woes. BoC is likely to stand pat and may prod Loonie pair sellers but US inflation, FOMC Minutes are the key. (FXStreet) USD/CHF holds lower grounds inside two-month-old bullish chart pattern. Downbeat MACD, RSI (14) suggest break of wedge towards the south. Four-month-long descending support line lures Swiss Franc bears; buyers need validation from 100-DMA. (FXStreet) GBP/JPY remains firmer around one-week high, up for the fifth consecutive day. Upside break of February’s high keeps buyers hopeful, two-week-old support line also restricts immediate declines. Six-week-old ascending trend line joins overbought RSI (14) to suggest limited room towards the north. (FXStreet) USD/IDR has dropped below 14,900 after upbeat Indonesian Retail Sales data. Bank of Indonesia might reconsider its stable policy stance as Retail Sales have expanded by 0.6%. The downside bias for US Dollar has been strengthened after light inflation guidance from Fed policymakers. (FXStreet) USD/MXN struggles to extend two-day recovery inside one-week-old symmetrical triangle. Bearish moving average crossover, steady RSI line keeps Mexican Peso pair sellers hopeful. Five-week-long ascending trend line adds to the downside filters. (FXStreet) NZD/USD stages a modest bounce from a nearly four-week low touched earlier this Wednesday. A modest USD weakness lends some support, though looming recession risks act as a headwind. Investors also seem reluctant ahead of the crucial US CPI report and the FOMC meeting minutes. (FXStreet) USD/INR has continued its auction above 82.00 ahead of US Inflation data. FIIs are turning buyers in the Indian market after months of correction. Oil prices are expected to extend their upside above $81.50 on expectations that the Fed will reach its terminal rate sooner. (FXStreet) Prices of the WTI kept the positive tone on Tuesday and surpassed the $81.00 mark per barrel amidst increasing open interest and volume, opening the door to the continuation of the uptrend in the very near term and with the immediate target at the 200-day SMA at $83.26. (FXStreet) Prices of the natural gas extended the weekly rebound on Tuesday. The uptick, however, was on the back of declining open interest and volume and suggests the a more serious recovery appears not favoured for the time being, leaving the current consolidation range well unchanged. (FXStreet) Gold price extends week-start rebound from 10-DMA to approach multi-day-old resistance line. Mostly downbeat Fed talks, market’s cautious optimism exert downside pressure on US Dollar and propel XAU/USD price. Softer US CPI, lack of clear guidance in FOMC Minutes can allow Gold buyers to keep the reins. (FXStreet) Silver confirms a breakout through a multi-day-old trading range and touches a fresh one-year high. The RSI on the daily chart is flashing overbought conditions and warrants caution for bullish traders. Any corrective pullback below the $25.00 mark is more likely to get bought into and remain limited. (FXStreet) Source: FXStreet, DailyFX Disclaimer: This information does not represent a BUY or SELL recommendation on the stock covered. Traders and Investors are encouraged to do their own analysis on stocks instead of blindly following any Trading calls raised by various parties on the Internet.