2023-03-24 09:39

After having reached its highest level since early February above 1.0900 on Thursday, EUR/USD reversed its direction and ended up closing the day in the red below 1.0850. The pair stays relatively quiet at around 1.0830 early Friday. The PMI surveys from the Euro area are expected to point to a modest expansion in the private sector's business activity in early March. (FXStreet) USD/CAD oscillates in a narrow trading band and is influenced by a combination of forces. An uptick in Oil prices underpins the Loonie and caps the upside amid subdued USD demand. Traders look forward to important macro data from the US and Canada for a fresh impetus. (FXStreet) NZD/USD comes under renewed selling pressure on Friday amid the ongoing USD recovery. A fresh leg down in the equity markets benefits the buck and weighs on the risk-sensitive Kiwi. The Fed’s less hawkish stance, sliding US bond yields could cap any further gains for the USD. (FXStreet) USD/JPY remains under heavy selling pressure for the third straight day on Friday. Expectations for a hawkish shift by the BoJ boost the JPY and drag the pair lower. Some follow-through USD buying could lend support and help limit further losses. (FXStreet) GBP/USD fluctuates below 1.2300 in the European morning. The UK's Office for National Statistics reported on Friday that Retail Sales in February rose by 1.2%, compared to the market expectation for an increase of 0.2%, but failed to provide a boost to Pound Sterling. On Thursday, the Bank of England (BOE) announced that it raised its policy rate by 25 basis points to 4.25%. (FXStreet) AUD/USD ignores the previous day’s bearish candlestick to pare weekly losses. Repeated failures to cross 200-DMA, steady RSI tease sellers. Previous resistance line from early February acts as the last defense of Aussie pair buyers. (FXStreet) 25bps Hike Delivered by the BoE. Policymakers Warned that if There Were Evidence of More Persistent Price Pressures, Further Tightening Would be Required. 2 MPC Members Voted to Keep Rates Unchanged. (DailyFX) USD/CHF takes offers to reverse early-day rebound, fades bounce off eight-day low. SNB stays ready for more rate hikes after 0.50% lift, as expected. Fed bets struggle to regain hawkish bias amid banking sector debacle. US statistics may offer an active day ahead, yields eyed too. (FXStreet) USD/INR is oscillating in a 10-pip range as investors await US Durable Goods Orders and preliminary PMI data. Lack of follow-up buying in the S&P500 futures after a confident recovery move has stemmed clouds of uncertainty. The Indian government has started assessing the performance of state-run lenders and PSUs after the global banking debacle. (FXStreet) SD/MXN retreats from intraday high, braces for the first weekly loss in three. Mixed US, Mexican data challenge traders but downbeat yields keep bears hopeful. Banking crisis, Fed bets tease buyers amid sluggish session. Busy calendar can entertain momentum traders during the one last shot of a volatile week. (FXStreet) The S&P 500 sank 1.6% in the aftermath of the Fed rate decision. Chair Jerome Powell tried pouring cold water on rate cut bets. Meanwhile, Janet Yellen testimony compounded risk aversion. Asia-Pacific markets appear to be bracing for volatility next. (DailyFX) Gold price bulls come alive and push XAU/USD back above the $2,000 mark. US Dollar and Treasury yields fall to a new low, supporting Gold’s comeback. Central banks to increase their Gold reserves due to geopolitical concerns, says report. (FXStreet) Silver consolidates the previous day’s strong move up to its highest level since February. The technical setup favours bullish traders and supports prospects for additional gains. Any pullback below the 61.8% Fibo. is likely to attract fresh buyers and remain limited. (FXStreet) The index alternates gains with losses around 102.60. Decent support emerges around the 102.00 mark so far. Durable Goods Orders, Flash PMIs next on tap later in the day. The greenback, when tracked by the USD Index (DXY), trades in a flattish fashion around 102.60 at the end of the week. (FXStreet) Natural Gas snaps two-day downtrend but struggles to extend corrective bounce. Convergence of 21-EMA, three-week-old descending resistance line prods buyers. Multiple supports from late February restrict immediate downside. Sluggish oscillators suggest a continuation of downward grind. (FXStreet) Bitcoin gained nearly 4% on Thursday and erased all of Wednesday's gains. BTC/USD was last seen moving sideways near $28,300. Ethereum rose 4.5% on Thursday and reclaimed $1,800 before stabilizing slightly above that level early Friday. (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.

2023-03-23 10:10

A slump in the dollar after the Federal Reserve’s latest interest-rate hike will be a breath of fresh air for emerging-market policymakers as it puts a floor under their currencies and eases their efforts to control inflation. The greenback weakened across the board Thursday, resuming a downtrend that started in earnest six months ago, and allowing the South Korean won, for example, to soar more than 2% to a one-month high. Such moves should make imports cheaper, helping to moderate price pressures. (Bloomberg) EUR/USD picks up bids to extend six-day uptrend towards two-month high. Multiple hurdles marched since late January challenge Euro pair buyers. Sellers need validation 200-SMA, weekly support line restricts immediate downside. MACD favors bulls but RSI (14) line suggests limited room towards the north. (FXStreet) AUD/USD has climbed to near 0.6750 as Fed signaled a pause in the rate-hiking spree. The Fed has not surrendered its weapons in front of stubborn inflation yet as it won’t look for any rate cuts this year. More downside in the USD Index cannot be ruled amid an absence of blanket insurance for all deposits in collapsed banks. (FXStreet) GBP/USD has printed a fresh day's high at 1.2330 as the USD index has continued its downside journey. The cable is auctioning in a Rising Channel chart pattern in which every pullback is considered as a buying opportunity. A range shift move by the RSI (14) into the bullish territory of 40.00-80.00 cement more upside ahead. (FXStreet) USD/JPY portrays corrective bounce after refreshing 1.5-month low during two-day fall. Yields remain pressured amid dovish Fed hike, banking sector turmoil. Downbeat Reuters Tanks survey details, comments from Citibank CEO seem to underpin latest rebound. Second-tier data, risk catalysts can entertain Yen pair sellers ahead of Friday’s Japan inflation. (FXStreet) USD/CAD holds lower ground near intraday bottom during the first loss-making day in three. Convergence of 21-EMA, horizontal resistance-turned-support from early January challenges sellers. Bearish MACD signals, downbeat RSI (14) suggests further downside of the Loonie pair towards monthly low. (FXStreet) USD/CHF remains depressed at one-week low during three-day losing streak. U-turn from 100-DMA, sustained observance of fortnight-old resistance line favor bears. Downbeat oscillators add strength to the south-run targeting seven-week-old support line. 50-DMA joins short-term resistance line to highlight 0.9255 as the key upside hurdle. (FXStreet) USD/MXN fades bounce off one-week low as 50-DMA pushes back bullish bias. Bullish candlestick formation, clear bounce off 21-DMA challenges sellers. MACD, RSI conditions suggest further grinding towards the south. Buyers need successful break of 61.8% Fibonacci retracement for conviction. (FXStreet) USD/TRY picks up bids to pare Fed-induced losses ahead of CBRT Interest Rate Decision. Fed’s dovish hike, banking sector rout weigh on yields and US Dollar but hopes of CBRT inaction prod pair bears. Turkish Consumer Confidence for March may offer immediate directions. Central Bank of the Republic of Türkiye is expected to hold benchmark rate unchanged at 8.5%. (FXStreet) USD/INR keeps Fed-induced losses around one-week low, depressed of late. Fed’s dovish rate hike joins cautious optimism in Asia to underpin Indian Rupee strength. Yields remain pressured as bank fears propel market’s rush toward bonds, Gold price. Some more central bank decisions, second-tier data to entertain traders but banking sector turmoil keeps USD/INR bears hopeful. (FXStreet) The S&P 500 sank 1.6% on Wednesday in the aftermath of March’s Federal Reserve interest rate decision and accompanying press conference from Chair Jerome Powell. The central bank raised borrowing costs by 25 basis points, bringing the target range to 4.75% - 5%. Initially, markets welcomed the event as the statement noted that policymakers “anticipate” some extra firming might be appropriate. (DailyFX) The index extends the bearish move below the 102.00 mark. Markets continue to adjust to the Fed’s dovish hike. Weekly Claims, New Home Sales, takes centre stage later on Thursday. The greenback, in terms of the USD Index (DXY), remains well on the defensive and breaks below the 102.00 yardstick for the first time since early February. (FXStreet) Gold bulls drive price back up after Federal Reserve signals less future rate hikes likely. Federal Reserve Chairman Powell highlights banking risks, suggesting these may do the work of tightening for the Fed. US Dollar weakens on the news, and negatively correlated Gold rises. (FXStreet) Bitcoin turned south late Wednesday and lost more than 3%. BTC/USD, however, found its footing early Thursday and started to climb toward $28,000. After having lost nearly 4% on Wednesday, Ethereum is up 1% early Thursday, trading slightly above $1,750. (FXStreet) Source: FXStreet, DailyFX, Bloomberg 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.

2023-03-22 09:31

EUR/USD struggles for clear directions around five-week high inside short-term ascending triangle. Sustained trading above 100-DMA, upbeat oscillators favor four-day uptrend but pre-Fed anxiety challenges traders. Mid-February high adds strength to 1.0800 upside hurdle; Euro sellers can return on 1.0700 break. (FXStreet) USD/JPY lacks any firm direction on Wednesday and oscillates in a narrow trading band. A subdued USD price action acts as a headwind; a positive risk tone lends some support. Traders also seem reluctant and prefer to wait for the highly-anticipated FOMC decision. (FXStreet) GBP/USD catches fresh bids on Wednesday and reverses a major part of the overnight losses. The stronger UK CPI report lifts bets for at least a 25 bps BoE rate hike and boosts the Sterling. Expectations that the Fed will soften its hawkish stance undermine the USD and lend support. (FXStreet) NZD/USD regains some positive traction on Wednesday and snaps a two-day losing streak. Bets for a less hawkish Fed continue to weigh on the USD and act as a tailwind for the pair. The upside remains limited as investors await the highly-anticipated FOMC policy decision. (FXStreet) AUD/USD grinds near intraday high inside a one-week-old ascending triangle. Treasury bond yields fade the last two days’ recovery as receding fears of banking sector turmoil jostle with pre-Fed anxiety. Australia’s Westpac Leading Index dropped for consecutive seventh month in February. Fed’s 0.25% rate hike is given but dot-plot, Powell’s speech could change the scene. (FXStreet) USD/CAD retraces to the multi-tested descending trendline. USD/CAD under pressure despite falling oil prices. The expectation for 25 bps is rising for the Fed meeting. USD/CAD is sliding downward, supported by a descending trend line that starts from the March high at the 1.3862 level on the daily timeframe. The broad-based US Dollar weakness since last week keeps USD/CAD under pressure despite falling oil prices. (FXStreet) EUR/GBP takes offers to refresh intraday low, pares the biggest daily gains in three weeks. UK CPI rose to 10.4% in February versus 0.6% expected and -0.6% prior. Former UK PM Johnson joins ERG, DUP to renew Brexit woes. Banking crisis may probe ECB’s Lagarde to soften hawkish bias. (FXStreet) USD/CHF licks its wounds near one-week low, picks up bids of late. Cautious optimism in the market, led by banking sector headlines, keeps US Dollar buyers hopeful. Expectations of SNB’s dovish rate hike also favor USD/CHF bulls. (FXStreet) AUD/JPY has witnessed a decent rally after Japan Matsuno promised a more than two trillion Yen package. The Australian Dollar is showing strength despite the RBA proposing a pause in the rate-hiking cycle from April. The cross has also delivered a breakout of the Symmetrical Triangle, which warrants a volatility expansion ahead. (FXStreet) GBP/JPY is aiming to deliver a breakout of the Inverted H&S as BoE would continue its policy-tightening spell. The 20-period EMA at 161.77 is providing cushion to the Pound Sterling bulls. A break into the 60.00-80.00 range by the RSI (14) would activate the bullish momentum. (FXStreet) USD/INR is oscillating in a narrow range above 82.60 ahead of Fed policy. Deepening odds of a smaller interest rate hike by the Fed are also weighing on the return offered on US bonds. Capital inflows in India could be trimmed if the banking turmoil stretches further. (FXStreet) USD/MXN jostles with the 200-EMA, 100-EMA confluence to prod two-day downtrend. Bearish MACD signals, downbeat RSI (14) suggest further declines. Seven-week-old horizontal support appears tough nut to crack for bears. Buyers need successful break of multi-day-old resistance line for conviction. (FXStreet) XAU/USD retraces from $2,000 as US Treasury bond yield surges on Fed’s backstop. Gold prices poised for potential volatility amid upcoming Fed meeting. Gold price could fall further if the dot plot remains stretched. (FXStreet) Silver price prints three-day losing streak, confirms two-week-old bearish chart pattern. Bearish MACD signals add strength to downside bias for XAG/USD price. 200-SMA, $21.30 can act as buffers during theoretical targeting surrounding $17.10. Silver buyers need validation from golden Fibonacci ratio. (FXStreet) The Nasdaq 100 soared on Tuesday, rallying 1.42% to 12,741, despite a sharp rise in U.S. Treasury yields. Equity market gains were broad-based in the tech space amid risk-on mood ahead of the FOMC decision, with the VIX, known as Wall Street's fear gauge, plunging more than 11% and posting its worst two-day drop since 2022. Positive sentiment was bolstered by speculations that the worst of the recent banking sector turmoil is over thanks to coordinated actions by government authorities to shore up the banking system, including emergency central bank lending and the U.S. Treasury Department's pledge to protect smaller lenders if necessary. (DailyFX) The index navigates the lower end of the range near 103.00. The Fed is largely expected to hike rates by 25 bps. Investors’ attention will be on Powell’s presser and the dots plot. The USD Index (DXY), which gauges the greenback vs. a bundle of its main competitors, trades within a tight range and keeps business near the 103.00 region on Wednesday. (FXStreet) The pound rose and UK government bonds fell as traders firmed up bets on a quarter-point hike by the Bank of England on Thursday after inflation unexpectedly accelerated. Shorter-dated gilts — which are particularly sensitive to changes in monetary policy — led the drop, with the two-year yield up as much as 20 basis points. The UK currency climbed 0.6% to $1.2286, the strongest in over six weeks. (Bloomberg) The New Zealand dollar, one of this year’s worst-performing major currencies, is emerging as a prime choice to hedge against potential US dollar strength should the global economic outlook darken. The kiwi has lost about 2.6% in 2023, beating only the Norwegian krone among Group-of-10 currencies. The slide took place in the context of a modestly weaker greenback, with the Bloomberg Dollar Spot Index dropping 0.4% this year. (Bloomberg) WTI: Upside appears capped by $70.00. Prices of the barrel of the WTI advanced markedly on Tuesday. The move was amidst increasing open interest and favours the continuation of the rebound in the very near term. That said, the next hurdle of note for the commodity comes at the key $70.00 mark per barrel. (FXStreet) Bitcoin registered small daily gains on Tuesday and continues to in a tight range above $28,000 early Wednesday. After having lost nearly 3% on Monday, Ethereum regained its traction and rose nearly 4% on Tuesday. ETH/USD fluctuates in a tight channel at around $1,800 in the early European session. (FXStreet) Source: FXStreet, DailyFX, Bloomberg 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.

2023-03-21 09:35

GBP/USD snaps a three-day winning streak and is pressured by a modest USD bounce. A further recovery in the US bond yields is seen as a key factor benefitting the buck. Bets for a less hawkish Fed and a positive risk tone to act as a headwind for the USD. Traders now look to the FOMC decision on Wednesday ahead of the BoE on Thursday. (FXStreet) USD/CAD regains positive traction on Tuesday and draws support from a combination of factors. Bearish Oil prices undermine the Loonie and lend some support amid a modest USD strength. Bets for a less hawkish Fed cap gains for the buck and the pair ahead of the Canadian CPI report. (FXStreet) USD/JPY picks up bids to poke short-term key resistance during the first positive day in three. Ascending trend line from mid-January challenges Yen pair bears amid nearly oversold RSI. Sluggish MACD, likely trendline breakout on RSI (14) add strength to the bullish bias. 200-SMA holds the key to buyers’ entry; sellers have a bumpy road towards the south. (FXStreet) EUR/USD took advantage of the broad-based US Dollar weakness and closed above 1.0700. The pair stays in a consolidation phase near Monday's closing level. "We are very confident that capital and liquidity positions of the Euro area banks are well in excess of requirements," European Central Bank (ECB) President Christine Lagarde said while testifying before the European Parliament's Committee on Economic and Monetary Affairs on Monday. (FXStreet) NZD/USD drifts lower for the second straight day and retreats further from over a one-month top. A modest USD recovery from its lowest level since February 14 exerts some pressure on the pair. Sliding US bond yields, bets for a less hawkish Fed, a positive risk tone to cap gains for the buck. (FXStreet) The Reserve Bank of Australia's policy meeting minutes revealed in the Asian session that policymakers agreed to reconsider the case for a pause, "recognizing that pausing would allow additional time to reassess the outlook for the economy." Although AUD/USD climbed to a daily high of 0.6720 with the initial reaction, it struggled to preserve its bullish momentum. As of writing, the pair was trading near 0.6700. (FXStreet) EUR/GBP tumbles towards 0.8700 as banking turmoil weighs on the Euro. Pound gains on Euro as market brace for UK CPI data and BoE policy decision. GBP buoyed by increasing odds of a pause in the BoE rate decision. EUR/GBP faces significant pressure as the market awaits the UK Consumer Price Index (CPI) and Bank of England (BoE) policy decision. The Euro has started to fall amid ongoing banking issues, as reports suggest that two more commercial banks are under scrutiny for possible contagion. (FXStreet) EUR/CHF is aiming to recapture the 1.0000 resistance as hawkish ECB bets soar. ECB Lagarde cited that inflation is projected to remain too high for too long. The demise of Credit Suisse has continued to weigh on the Swiss Franc. (FXStreet) Crude oil remains on the back foot today after visiting lows not seen since late 2021 as markets appraise the efforts of authorities to shore up confidence in the banking sector. The WTI futures contract is near US$ 67 bbl while the Brent contract is a touch above US$ 73 bbl. At the same time that the Swiss National Bank orchestrated the Credit Suisse – UBS deal, US authorities are weighing up the possibility of all deposits with banks being guaranteed. Currently, the Federal Deposit Insurance Commission (FDIC) covers deposits with recognised institutions up to US$ 250,000. (DailyFX) Precious metals are continuing the retracement initiated on Monday as the financial markets try to settle down from the huge stress seen over the last few days. Gold price (XAU/USD) has pulled back to trading below $1,970 at the time of writing, from a peak above $2,000 early on Monday. Silver price action (XAG/USD) has been a bit quieter, with a relative monthly high below $23 achieved on Monday and a 1% retracement since. (FXStreet) The index bounces off recent lows near 103.30. The Fed’s 2-day meeting starts later in the session. Existing Home Sales will be the only release in the US docket. The greenback, in terms of the USD Index (DXY), manages to regain some tepid upside traction and rebounds from Monday’s lows in the 103.30/25 band. (FXStreet) Silver remains on the defensive for the second straight day, albeit lacks follow-through. The technical setup supports prospects for the emergence of dip-buying at lower levels. Bulls need to wait for a move beyond the 61.8% Fibo. level before placing fresh bets. (FXStreet) The Central Bank of Nigeria is set to extend its steepest phase of monetary tightening to contain inflation and attract investors back into local debt, while holding off on a widely-expected currency devaluation until later in the year. Seven of 12 economists in a Bloomberg survey predict the monetary policy committee will hike the key interest rate by 50 to 100 basis points at its first meeting since the All Progressive Congress’s Bola Tinubu was elected president in a Feb. 25 vote. The rest see no change. (Bloomberg) Following last week's impressive rally, Bitcoin corrected lower and closed below $28,000. As of writing, BTC/USD was down nearly 1% on the day at around $27,600. Ethereum fell nearly 3% on Monday and continues to edge lower toward $1,700 early Tuesday. (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.

2023-03-20 09:29

Market Update - 18 March 2023 USD/CHF fills a modest bearish gap opening on Monday, though the upside potential seems limited. The emergence of some USD buying is seen as the only factor lending some support to the major. Bets for a less hawkish Fed, tumbling US bond yields and the risk-off mood to cap gains for the pair. (FXStreet) Coordinated efforts to rescue the global banking sector fail to boost EUR/JPY. European banking crisis takes a toll on EUR/JPY despite interest rate hikes. Narrowing yield differential with JGBs adds to EUR/JPY volatility amid banking turmoil. (FXStreet) USD/CAD picks up bids to refresh intraday high, reverses week-start pullback. One-week-old symmetrical triangle restricts immediate moves of the Loonie pair. 100-SMA adds strength to 1.3685 support confluence, 50-SMA guards immediate upside. MACD, RSI (14) line suggest a slower grind towards the north. (FXStreet) The index starts the new week slightly on the defensive. The Fed is expected to raise rates by 25 bps later in the week. Short-term Bill Auctions will be the only releases in the docket. The greenback, in terms of the USD Index (DXY), struggles for direction around the 103.80 at the beginning of the week. (FXStreet) EUR/USD breaks 21-DMA as bullish momentum continues amid a steady US Dollar. Banking turmoil weighs on US Treasury yields, boosting EUR/USD toward crucial levels. EUR/USD looks to regain 1.0700, as the market awaits directional clues from the FOMC meeting. (FXStreet) GBP/USD is facing barricades in recapturing the round-level resistance of 1.2200. Federal Reserve is expected to hike rates further by 25 bps to continue weighing on sticky inflationary pressures. A steady monetary policy is expected from the Bank of England despite the Silicon Valley Bank collapse. GBP/USD has witnessed a solid upside move after testing the breakout zone of the Falling Channel pattern. (FXStreet) EUR/GBP prints four-day downtrend despite recent inaction. Optimism surrounding UK’s output, housing market jostles with the hawkish ECB talks. Market’s failure to keep the week-start optimism adds strength to the pair’s sluggish moves. Speech from ECB’s Lagarde, key UK data and BoE Monetary Policy Meeting eyed for clear directions. (FXStreet) USD/MXN picks up bids to extend the previous day’s rebound from 50-DMA. 11-week-old descending trend line challenges Mexican Peso pair buyers. 100-DMA, double tops around 19.20 also challenge the upside moves. Oscillators are well in support of bulls even as multiple hurdles test the north run. (FXStreet) AUD/USD retreats from early gains as liquidity concerns persist despite central banks' efforts. Investors are cautious despite the swap line, as two more European banks are on the radar. All eyes are on the Fed and their expected 25 bps rate hike. (FXStreet) NZD/USD remains depressed around intraday low as it snaps two-day winning streak. Bullish MACD signals, 200-EMA and nearby rising trend line keeps buyers hopeful unless breaking 0.6180 support. One-month-old ascending resistance line challenges Kiwi pair’s immediate upside. (FXStreet) USD/INR prints three-day downtrend even as bears struggle to keep the reins of late. Major central banks’ join effort to tame liquidity crunch, UBS-Credit Suisse deal favor risk-on mood. Chatters over the loss of Credit Suisse AT1 bondholders, anxiety ahead of Fed policy meeting probe optimists. (FXStreet) Friday’s strong pullback in prices of the barrel of the WTI was in tandem with increasing open interest and volume. Against that, the continuation of the current decline looks the most likely scenario in the very near term and with the immediate target at the key $60.00 mark. (FXStreet) Natural gas prices dropped to multi week lows on Friday. The daily retracement was accompanied by rising open interest and is indicative that a deeper decline emerges on the horizon in the very near term. That said, another visit to the $2.00 neighbourhood sooner rather than later remains on the cards. (FXStreet) Gold price picks up bids to reverse the early-day losses within one-week-old bullish channel. Global central banks’ moves to infuse US Dollar liquidity, UBS-Credit Suisse deal earlier favored risk-on mood. Details of efforts to push back fears from banking sector fallout appear less lucrative amid hawkish central bank bias. Woes for Credit Suisse bondholders, cautious mood ahead of top-tier data/events weigh on sentiment. (FXStreet) Silver finds support near 50% Fibo. and stalls its modest intraday slide from a multi-week peak. The technical setup favours bullish traders and supports prospects for further near-term gains. A convincing break below the $21.50 area negates the positive outlook for the white metal. (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.

2023-03-17 08:53

Market Update - 17 March 2023 USD/CAD has slipped further below 1.3700 amid an extended correction in the USD Index. Oil price has scaled above $69.00 amid the revised 2023 China GDP forecast to 6.0% from 5.5% previously estimated. Going forward, Canada’s Inflation data will be of utmost importance. (FXStreet) The index adds to Thursday’s decline and puts 104.00 to the test. Persistent risk-on mood keeps weighing on the dollar. Industrial Production, Consumer Sentiment take centre stage in the docket. The selling pressure keeps dominating the sentiment around the greenback and forces the USD Index (DXY) to confront the key support at 104.00 at the end of the week. (FXStreet) EUR/USD has extended its recovery above 1.0640 as the USD Index is losing steam further. Federal Reserve might remain steady on interest rates after discounting lower inflation in February and fresh banking instability. European Central Bank went for a third consecutive 50 bps interest rate hike to tame rampant inflation despite Credit Suisse’s debacle. EUR/USD has scaled above the 50% Fibonacci retracement, which cements a bullish reversal. (FXStreet) GBP/JPY prints mild losses while reversing the previous day’s bounce off one-month low. Bearish MACD signals, repeated failures to cross 200-EMA keep sellers hopeful. 11-week-old ascending trend channel restricts short-term downside, suggests gradual run-up to refresh YTD top. (FXStreet) EUR/GBP prints three-day losing streak, justifies downside break of 0.8770-75 confluence. Bearish MACD signals add strength to downside bias. Recovery moves need validation from 0.8815 to convince bulls. (FXStreet) GBP/USD picks up bids during two-day uptrend, eyes third consecutive weekly gain. Cabl buyers cheer Brexit optimism, no more labor strikes in the UK and the US Dollar’s retreat. Fears of downbeat UK housing market reaction to the BoE’s rate hike cap the prices ahead of the key central bank events. (FXStreet) EUR/JPY is facing barricades in extending its recovery above 142.00. The 20-period EMA at 141.50 is providing a cushion to the Euro bulls. An oscillation in the 40.00-60.00 range by the RSI (14) indicates a consolidation for now. (FXStreet) NZD/USD benefits from revived risk appetite and a softer US Dollar. Central banks to stay on rate hiking path despite liquidity crisis. Questions remain on future bank support and policy implications. (FXStreet) AUD/USD has sensed a stellar buying interest amid the declining USD Index. A bull cross, delivered by the 20-and 50-period EMAs at 0.6648 indicates more upside ahead. The RS) (14) has shifted into the bullish range, which indicates that the upside momentum has been triggered. (FXStreet) USD/JPY in search for direction bias amid steady US Treasury yield. ECB rate hike impacts global yield complexes; central banks hold steady amid liquidity crunch. Fed's March FOMC meeting unlikely to see pivotal shift in rate hiking cycle. (FXStreet) USD/CNH is oscillating around 6.9000 as investors await PBoC policy for fresh impetus. A dovish stance is expected on the LPR by the PBoC as the economy is aiming for a recovery. The appeal for the USD Index has been trimmed as investors are dubious about the upcoming Fed's policy. (FXStreet) USD/INR extends the previous day’s pullback from three-week high. US Treasury bond yields weigh on greenback amid receding fears of financial crisis. Mixed sentiment, light calendar and pre-Fed anxiety are extra catalysts that allow Indian Rupee to lick its wounds. (FXStreet) USD/MXN reverses from 100-HMA hurdle to pare intraday gains. Bearish chart formation needs confirmation from 18.55, downbeat oscillators keep sellers hopeful. 200-HMA acts as additional downside filter, bulls need validation from February’s top to tighten the grips. (FXStreet) WTI crude oil picks up bids to rebound from the lowest levels since December 2021. Bullish Doji candlestick, US Dollar pullback joins hopes of more energy demand from China to favor Oil price recovery. US President Biden’s readiness for additional SPR release, mixed sentiment probe Oil buyers. (FXStreet) Gold price grinds higher amid US Dollar pullback, sluggish sentiment. Sustained trading beyond $1,920 and $1,925 supports keep XAU/USD buyers hopeful. Receding fears of banking crisis, lack of major data/events strengthen bullish bias. Second-tier US data, bond market moves eyed for clear directions as Fed’s 0.25% rate hike seems given. (FXStreet) Silver price bounces off intraday low, eyes the biggest weekly gain since late 2022. Strong yields probe XAG/USD bulls but the metal’s safe-haven status keep Silver price firmer. Market’s indecision about the next week’s Fed moves, lack of major data/events restrict immediate moves of the Silver 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 the Internet.