2023-04-11 10:28

Market Update - 11 April 2023 EUR/USD is looking to extend its upside journey towards 1.0900 amid a cheerful market mood. Investors have digested the expectations of one more 25 basis points (bps) rate hike from the Fed. Higher rates by the Fed and tight credit conditions by US banks have forced investors to downgrade growth for S&P500. (FXStreet) USD/JPY retreats from over a three-week high touched on Monday amid a modest USD weakness. A generally positive risk tone could undermine the safe-haven JPY and lend support to the major. The divergent Fed-BoJ policy outlook also warrants caution before placing aggressive bearish bets. (FXStreet) AUD/USD recovers from the lowest levels in 12 days to snap five-day downtrend. Convergence of 10-DMA, previous support line from early March restricts immediate upside. Aussie bulls need validation from 0.6800 to keep the reins. (FXStreet) GBP/USD currently trades around 1.2435, just under 0.5% higher on the session. The pair is near an old line of resistance around 1.2450, a level that has held the pair at bay over the past few months. All three moving averages are positive and supportive of a move higher. If cable can break through resistance, then 1.2525 comes into play before a multi-month high at 1.2667 comes into view. (DailyFX) The U.S. dollar, as measured by the DXY index, started the week on a positive note, rallying more than 0.65% to 102.75, bolstered by risk-off sentiment and higher U.S. treasury rates in a session characterized by thinner liquidity and lower trading volume, with European markets closed for the Easter Holiday. (DailyFX) NZD/USD struggles to capitalize on its modest intraday gains, though the downside seems limited. The softer Chinese inflation figures fuel concerns about slowing growth and weighs on the major. A positive risk tone undermines the safe-haven USD and lends support to the risk-sensitive Kiwi. (FXStreet) Oil prices haven’t been able to extend gains after the initial jump following the surprise announcement of the output cut by OPEC+ producers. There could be a couple of reasons for the wait-and-watch mode. (DailyFX) Natural gas prices are holding above strong support, raising the prospect of at least some consolidation / minor rebound as the downward momentum is fading. Market diversity as measured by fractal dimensions appears to be low as natural gas retests multi-month lows. (DailyFX) Gold prices (XAU/USD) retreated on Monday, falling more than 1.0% and threatening to break below the psychological $2,000 level, undermined by broad-based U.S. dollar strength and increased odds of additional Fed tightening following remarkably strong U.S. labor market data released last Friday. (DailyFX) Bitcoin’s jump to a nine-month high is a sign that the medium-term downtrend in cryptocurrencies is changing. While the trend on the daily charts continues to be bullish, some short-term consolidation can’t be ruled out. (DailyFX) 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.

2023-04-10 09:25

Market Update - 10 April 2023 EUR/USD remains depressed around intraday low, snaps three-week uptrend. Downside break of three-week-old ascending trend line, receding bullish bias of MACD favor sellers. Fortnight-long support line acts as additional check for Euro bears. RSI retreat, multiple hurdles above 1.1000 keeps EUR/USD sellers hopeful. (FXStreet) USD/JPY has stretched its recovery to 132.50 as the solid US labor market has backed more rate hikes from the Fed. S&P500 futures are holding nominal gains despite escalating tensions between China and Taiwan. Ex-BoJ Nakaso is hoping for modification or an end to its bond yield control policy due to increasing side effects. (FXStreet) GBP/USD has dropped below 1.2420 again amid a decent recovery in the USD Index. The USD Index has been backed by China-Taiwan tensions and rising hopes of one more rate hike from the Fed. S&P500 futures have turned negative as investors are anxious about the quarterly earnings season. (FXStreet) AUD/USD remains sidelined around intraday low amid Easter Monday holiday. China’s military drills around Taiwan propelled geopolitical woes early in Asia. Absence of escalation in military strikes, off in multiple markets tame Aussie pair’s moves. Cautious mood before Aussie employment, US inflation, Fed Minutes weigh on AUD/USD but more clues needed for clear directions. (FXStreet) USD/CAD struggles to defend the first daily loss in five inside a bearish chart formation. Sustained trading beyond 50-SMA, firmer oscillators prod bears. 200-SMA appears crucial hurdle for Loonie pair buyers. (FXStreet) USD/CHF picks up bids to refresh intraday high, extend previous week’s rebound from 22-month low. Bullish MACD signals allow USD/CHF to consolidate recent losses but March’s low guards immediate upside. Multiple resistance lines, 100-SMA stand tall to challenge USD/CHF bulls. Sellers need validation from 0.9035 to aim for fresh multi-month low. (FXStreet) USD/MXN is eyeing more weakness below 18.10 as USD Index has witnessed exhaustion in the upside momentum. The USD Index is struggling to expand gains further as investors are ignoring volatility ahead of US inflation data. USD/MXN is expected to continue further downside amid Darvas Box formation. (FXStreet) USD/INR is aiming to defend its immediate support of 81.70 as RBI has yet not reached to pivot rate. Mounting China-Taiwan tensions have triggered the risk-off market mood. Further movement in the USD Index is likely to be guided by the US inflation data. (FXStreet) NZD/USD renews intraday low, extends previous week’s pullback from two-month high. Successful break of one-month-old ascending trend line, clear U-turn from 0.6385-90 resistance confluence favor sellers. Looming bear cross on MACD, steady RSI (14) adds strength to downside bias. (FXStreet) WTI remains sidelined inside a four-day-old trading range, retreats of late. Fears emanating from OPEC+ supply cuts, geopolitical fears underpin Oil price strength. US Dollar traces recently firmer odds of Fed’s 0.25% rate hike in May after upbeat US NFP. Risk catalysts, US inflation and Fed Minutes eyed for clear directions. (FXStreet) Natural Gas price prints mild gains after declining to the lowest levels since August 2020 the previous day. Fears of supply crunch allow XNG/USD bears to take a breather at multi-month low. US Dollar rebound, expectations of warmer weather in Europe challenge gas buyers. Market sentiment, inflation data from China and US will be important for fresh impulse. (FXStreet) Gold price has stretched its downside to near $1,990.00 amid steep recovery in the USD Index. Investors are anticipating a rebound in US inflation figures amid solid labor market conditions. Gold price is declining towards the upward-sloping trendline plotted at $1,885.77. (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.

2023-04-07 09:51

EUR/USD pares weekly gains during three-week uptrend on Good Friday holiday. United States statistics weigh on Federal Reserve bets and favor the Euro buyers. Recession fears, geopolitical headlines prod EUR/USD buyers ahead of the key US Nonfarm Payrolls. (FXStreet) GBP/USD snaps two-day losing streak with minor gains. Comparatively more hawkish hopes from BoE than Fed contrast with Brexit doubts to prod Cable buyers. US employment numbers are likely to allow GBP/USD to remain firmer for the fourth consecutive week. (FXStreet) USD/JPY clings to mild losses amid inactive markets, mixed concerns at home. BoJ held record JGB’s in March to tame hawkish concerns as Kuroda bids adieu. Japan’s real wages remain downbeat despite recent improvements, household spending also drop. Fears of BoJ’s exit from ultra-easy monetary policy, downbeat US data and yields keep bears hopeful ahead of key catalysts. (FXStreet) USD/CHF fades the previous day’s corrective bounce off 22-month low. Downbeat US data, mixed concerns about US recession and Fed weigh on the Swiss Franc pair. US NFP can propel markets amid Good Friday-induced inaction, firmer readings can renew US Dollar strength. (FXStreet) USD/CAD struggles for clear directions amid Good Friday holiday, pauses three-day uptrend. Strong Canada jobs report contrast with downbeat US data to challenge Loonie pair buyers. WTI crude oil price grinds higher and challenge the USD/CAD bulls. Recession woes, BoC’s dovish bias keeps Loonie buyers hopeful ahead of US Employment report for March. (FXStreet) US Dollar Index remains inactive amid Good Friday holiday, pares weekly losses of late. Downbeat US data, dovish Fed bets keep DXY sellers hopeful ahead of the key employment report. Recession woes put a floor under the prices as Fed’s preferred economic indicator signals slowdown. (FXStreet) AUD/USD picks up bids to refresh intraday high, snaps three-day losing streak. Clear break of one-month-old ascending trend channel, bearish moving average crossover keeps sellers hopeful. US NFP may bolster recession woes and weigh on prices on matching downbeat forecasts. (FXStreet) USD/MXN remains sidelined after snapping three-day uptrend the previous day. Convergence of 200-HMA, three-week-old previous resistance line puts a floor under Mexican Peso pair’s price. Hesitance in extending trend line break, looming bull cross on MACD lures buyers; recovery remains elusive below 18.40. (FXStreet) USD/INR stays well-set for three-week losing streak, down for the fourth consecutive day. Indian Rupee buyers take a breather at 11-week-old ascending trend line. Clear break of upward-sloping previous support line from September 2022, bearish MACD signal favor USD/INR sellers. Convergence of Five-month-old support line, 200-DMA appears a tough nut to crack for pair bears. (FXStreet) NZD/USD appears well-set for weekly loss after falling the most in a month the previous day. Sour sentiment allowed Kiwi traders to reverse RBNZ-led rally. US data flags recession fears and weigh on commodities, Antipodeans. NFP will be crucial, more volatility eyed amid thin market presence. (FXStreet) Gold price remains on the way to snapping two-week downtrend despite recent fall. XAU/USD prints the biggest daily loss in two weeks amid recession woes, cautious mood ahead of United States Nonfarm Payrolls. US Dollar weakness keeps Gold buyers hopeful but it all depends upon NFP amid recently disappointments from US data. XAU/USD can seesaw on US employment statistics amid lack of liquidity due to Good Friday. (FXStreet) Silver price (XAG/USD) seesaws around $25.00 in the last few days after retreating from the one-year high on Wednesday, making rounds to $24.95 during Good Friday’s inactive Asian session. Even so, the bright metal stays well-set for a consecutive fourth weekly gain while tracing the upbeat options market signals. (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.

2023-04-06 09:32

EUR/USD attempts to consolidate Wednesday’s strong pullback. Construction PMI in Germany retreated markedly to 42.9 in March. US Initial Jobless Claims next on tap in the NA session. (FXStreet) GBP/USD seesaws between tepid gains/minor losses through the early European session. A combination of factors acts as a headwind for the USD and lends support to the major. The uncertainty over the BoE’s rate-hike path holds back bulls from placing fresh bets. (FXStreet) EUR/GBP retreats from intraday high during six-day downtrend. German Industrial Production YoY for February arrives better than expected and prior. Brexit optimism, comparatively upbeat UK data and hawkish BoE talks previously teased bears. ECB policymakers keep advocating further rate hikes even as recession fears loom. (FXStreet) The index adds to Wednesday’s uptick and approaches 102.00. The downtrend in US yields remain unabated for the time being. Initial Jobless Claims will be in the limelight later in the NA session. The greenback, when measured by the USD Index (DXY), maintains the bid tone for the second session in a row and trades closer to the 102.00 neighbourhood on Thursday. (FXStreet) USD/CAD extends recovery from seven-week low, grinds higher of late. Convergence of previous support line from June 2022, 100-day EMA challenges Loonie pair’s recovery. 38.2% Fibonacci retracement level, five-month-old ascending trend line lures sellers. Canada’s monthly employment data for March bears downbeat forecasts and can weigh on prices. (FXStreet) USD/JPY portrays bearish consolidation during four-day downtrend, picks up bids of late. Fears of economic slowdown underpin US Dollar rebound despite downbeat data, yields stay pressured at weekly low. Hawkish BoJ concerns contradict dovish shift in Fed bets to weigh on Yen price. Second-tier US employment data eyed ahead of Friday’s key Nonfarm Payrolls. (FXStreet) USD/CHF picks up bids to extend the previous day’s rebound from 22-month low. Upside break of weekly resistance line, looming bull cross on MACD favor Swiss Franc sellers. Two-month-old previous support line appears crucial for USD/CHF bulls; 100-SMA acts as the last defense of bears. (FXStreet) USD/CNH is demonstrating volatile moves amid escalating tensions between the United States and China. Chinese spokesperson cited that the economy will take resolute and effective measures to safeguard territorial integrity. Caixin Services PMI has remained upbeat in March, landing higher at 57.8. (FXStreet) NZD/USD retreats further from a nearly two-month high amid some follow-through USD buying. Looming recession fears benefit the safe-haven Greenback and weigh on the risk-sensitive Kiwi. Bets for an imminent Fed rate-hike pause could cap the buck and help limit losses for the major. (FXStreet) AUD/USD has surrendered the immediate support of 0.6700 as US-China tension has strengthened the risk-off mood. Federal Reserve to remain steady amid deepening US recession fears and cooling US labor market. Reserve Bank of Australia has kept doors open for more rate hikes in case Australian inflation continues to remain persistent. AUD/USD is auctioning in a Rising Channel chart pattern, however, weak momentum could weaken the Australian Dollar. (FXStreet) USD/INR has scaled sharply above 82.00 as the RBI has kept its first bi-monthly policy unchanged. Considering the contagion risk from global banking jitters and uncertainty, a steady policy has been chosen. Geopolitical tensions between the United States and China are keeping risk-sensitive assets on their toes. (FXStreet) Crude oil prices gave away some gains on Wednesday amidst rising open interest, which is suggestive that further retracement appears likely in the very near term. Against that, it remains to be seen whether the WTI could fill Monday’s upside gap in response to the OPEC+ decision. On this, the next support is seen at $75.68 (daily high March 31). Prices of natural gas added to the previous session’s gains on Wednesday amidst rising open interest and is supportive of extra gains in the very near term. However, the persistent decline in volume could remove strength to that view and should leave the ongoing consolidation theme well in place for the time being. (FXStreet) Silver edges lower for the second successive day, albeit lacks follow-through selling. The technical setup favours bullish traders and supports prospects for further gains. Dips could be seen as a buying opportunity near the $24.40-30 resistance breakpoint. (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.

2023-04-05 09:39

USD/JPY drifts lower for the third successive day and drops to a one-week low. Rebounding US bond yields lends support to the USD and limit further losses. Traders look to the US ADP report and the ISM Services PMI for fresh impetus. (FXStreet) EUR/USD adds to the weekly uptrend and approaches 1.1000. Final Services PMIs in the euro area and the US are due later. Markets’ attention will also be on the US ADP report. (FXStreet) GBP/USD oscillates in a narrow trading band through the early European session on Wednesday. A combination of factors lends some support to the USD and acts as a headwind for the major. Bets for an imminent Fed rate-hike pause continue to cap the buck and help limit the downside. (FXStreet) USD/CAD struggles to extend the previous day’s rebound from seven-week low. One-week-old descending resistance line challenge Loonie pair buyers. Bullish MACD signals, RSI recovery from oversold territory facilitate upside momentum. (FXStreet) The index navigates with humble gains around 101.60. US yields remain depressed in multi-day lows. ADP report, ISM Non-Manufacturing take centre stage later. The USD Index (DXY), which tracks the greenback vs. a bundle of its main rivals, trades with marginal gains and looks to consolidate the recent pullback on Wednesday. (FXStreet) USD/CHF seesaws around 20-month low, snaps two-day downtrend amid sluggish markets. Cautious mood ahead of top-tier US data, corrective bounce in yields allow Swiss Franc pair to stabilize at multi-month low. Downbeat US data, challenges to USD’s reserve currency status challenge weigh on USD/CHF pair. (FXStreet) AUD/USD takes offers to refresh intraday low during two-day downtrend. 200-EMA prods Aussie pair’s fall inside one-month-old ascending trend channel. Impending bear cross on MACD lures sellers but 0.6670 is the key to confirming bearish trend. (FXStreet) USD/MXN struggles to extend two-day uptrend as steady RSI joins five-week-old horizontal resistance to prod buyers. Convergence of previous resistance line from March 20, one-month-old ascending support line challenges Mexican Peso bulls. Bullish MACD signals, sustained trend line breakout keeps pair buyers hopeful. (FXStreet) USD/INR is declining toward 82.00 as investors are yet to discount the overnight sell-off in the USD Index. Weak US Job Openings data is indicating that the tight US labor market is cooling-off. S&P500 futures have added nominal gains after a bearish Tuesday, portraying caution in the overall market mood. (FXStreet) NZD/JPY takes a U-turn from the key EMAs to renew multi-day top after RBNZ move. RBNZ surprises markets by announcing 0.50% rate hike, the 11th consecutive rate increase. Given the sustained bounce of the 50-EMA, 200-EMA, backed by upbeat RSI, the bulls are likely to keep the reins. (FXStreet) AUD/NZD has dived to near 1.0618 as the RBNZ has hiked rates by 50 bps to 5.25%. RBNZ Governor Adrian Orr went for a bumper rate hike as NZ’s inflation has remained extremely sticky. RBA Lowe would deliver guidance on interest rates and the economic outlook. (FXStreet) NZD/USD picks up bids to reverse early-day pullback from a seven-week high on RBNZ rate hike. RBNZ announces 50 bps rate increase to defy market expectations, the 11th in a row. Corrective bounce in yields, US Dollar challenge Kiwi pair buyers. US ISM Services PMI, ADP Employment Change will be crucial for clear directions amid broad USD weakness. (FXStreet) Prices of the barrel of the WTI maintained the bid bias on Tuesday and added to the ongoing rally amidst rising open interest. The latter underpins the view that the commodity could extend the upside in the very near term, although the sharp decline in volume and the proximity of the overbought territory (as per the daily RSI) could spark some fresh selling. In the meantime, there is a firm hurdle at the 200-day SMA around $83.80, an area coincident with the December 2022 peaks. (FXStreet) Natural Gas is facing hurdles in extending its recovery above $2.16. A delay in the summer season in North America has postponed the requirement of natural gas for cooling homes. The USD index has shown some recovery after printing a fresh monthly low at 101.45. (FXStreet) Gold price is continuously auctioning above $2,020 ahead of US labor market data. S&P500 futures remained choppy in the Asian session after sensing selling pressure on Tuesday, indicating a quiet market mood. The Services PMI is seen declining to 54.5 from the former release of 55.1. (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.

2023-04-04 09:43

USD/JPY is challenging 133.00 again amid rebounding US Treasury bond yields. European stocks advance while US S&P 500 futures turn positive. Bearish 50DMA support is in sight amid the pullback from multi-week highs. (FXStreet) EUR/USD adds to Monday’s gains past the 1.0900 level. The greenback extends the bearish note seen on Monday. ECB Survey, EMU Producer Prices next on tap in the calendar. (FXStreet) GBP/USD picks up bids to pare intraday losses inside one-week-old bullish channel. Tops marked on Friday, Monday challenge Cable bulls ahead of the key 1.2445-50 resistance area. RSI conditions suggest that the buyers are running out of steam. Sellers need to defy bullish chart formation to retake control. (FXStreet) The index briefly pierces the 102.00 support early on Tuesday. US yields attempt a tepid rebound amidst the prevailing downtrend. Factory Orders, JOLTs Job Openings next on tap in the docket. The USD Index (DXY), which gauges the greenback vs. a bundle of its main rivals, alternates gains with losses around the 102.00 neighbourhood on turnaround Tuesday. (FXStreet) USD/CAD picks up bids to pare intraday losses at 1.5-month low, prods six-day downtrend. US Dollar pares recent fall as mixed concerns about inflation, geopolitics weigh on sentiment amid sluggish session. Headlines from Russia, China challenge previous risk-on mood even as Fed bets ease. Canada Building Permits, US Factory Orders eyed for fresh impulse. (FXStreet) AUD/USD takes offers to refresh intraday low, reverses the biggest daily gain since January. Sour sentiment, light calendar and RBA’s pause to rate hike trajectory favor Aussie pair sellers. US-China, Russia-Europe headlines can join US Factory Orders to entertain AUD/USD traders. RBA’s Lowe, US Treasury bond yields will be crucial for clear directions. (FXStreet) USD/MXN picks up bids to extend the previous day’s recovery from three-week low. Upbeat oscillators, sustained break of 100-HMA and one-week-old descending trend line favor Mexican Peso sellers. Three-day-old horizontal resistance challenges USD/MXN bulls ahead of 200-HMA. (FXStreet) NZD/USD is looking to keep its auction above 0.6300 amid the risk-on mood. A sudden jump in the odds of one more rate hike by the Federal Reserve has supported the USD Index in extending its recovery. The Reserve Bank of New Zealand is expected to extend rates further to 5% despite a bleak economic outlook. NZD/USD is gathering strength to deliver a breakout of the Flat Channel. (FXStreet) USD/CHF pares the previous day’s losses at three-week low. Convergence of one-week-old and two-month-long ascending trend lines puts a floor under Swiss Franc pair. Sluggish oscillators, strong resistances challenge pair buyers unless the quote stays below 200-SMA. (FXStreet) AUD/JPY has slipped sharply below 89.70 as RBA has kept a neutral stance on interest rates. Quick softening of Australia’s monthly PCI to 6.8% must have allowed the RBA to keep rates unchanged at 3.6%. A positive contribution to Japan’s inflation through international forces would only create troubles for BoJ policymakers. (FXStreet) AUD/NZD slump pips as RBA announces no rate increase after lifting the rates in the last 10 consecutive times. NZIER criticizes RBNZ’s rate hike, suggesting likely signals of policy pivot and AUD/NZD rebound in future. RBNZ is expected to announce 0.25% rate hike on Wednesday. Lowe’s comments on RBA’s future path, RBNZ announcements will be crucial for clear directions. (FXStreet) USD/INR picks up bids to reverse Monday’s pullback from one-week high. Firmer Oil price, US Dollar’s consolidation weighs on Rupee amid India holiday. US Factory Orders may entertain intraday traders ahead of Wednesday’s RBI Interest Rate decision. Friday’s US NFP appears crucial amid receding hawkish Fed bets. (FXStreet) Prices of the WTI leapt past the $81.00 mark per barrel on Monday in response to the decision by the OPEC+ to reduce the oil output. The strong bounce was on the back of increasing open interest and volume and leaves the door open to further upside in the very near term. Against that, the next target on the upside now emerges at the 2023 high at $82.60 (January 23). (FXStreet) Prices of the natural gas started the new trading week within the broad consolidative phase in place since mid-March. Monday’s price action was on the back of increasing open interest and volume and exposes further range bound for the time being. On the downside, the next support remains in the sub-$2.00 mark per MMBtu (February 22). (FXStreet) Gold price retreats from intraday high to consolidate week-start gains. Mixed concerns about inflation, Fed challenge XAU/USD buyers amid light calendar. Geopolitical fears emanating from China, Russia also prod Gold buyers. US Factory Orders may entertain traders, yields eyed ahead of busy calendar. (FXStreet) Silver price pares the second consecutive daily losses around the highest levels in two months. Descending resistance line from Friday, bearish MACD signals lure sellers. Two-week-long ascending trend line, key EMAs put a floor under the XAG/USD price. (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