Technical Summary

EUR/USD: dollar eases ahead of Yellen

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EUR/USD Current Price: 1.1211

 

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The EUR/USD pair trades unchanged intraday, still stuck around  the 1.1200 level and waiting for a trigger, one way or the other. So far, the macroeconomic calendar has remained light, but the US will offer some data, including  a house price index and consumer confidence for March, alongside with a Yellen’s speech. This last will probably set the tone for the next couple of days, when the market will enter back in wait-and-see mode ahead of the US NFP report on Friday.

Technically, the EUR/USD  1 hour chart presents a neutral-to-bullish stance, given that the technical indicators head barely higher around their mid-lines, whilst the 20 SMA remains horizontal, and the price moves between the 100 and 200 SMAs. In the 4 hours chart, the technical indicators have turned lower above their mid-lines, but the price remains above an also flat 20 SMA. Some follow through beyond 1.1245 is required to confirm additional advances, while below 1.1160, the risk turns towards the south.

Support levels: 1.1160 1.1120 1.1085

Resistance levels: 1.1245 1.1290 1.1330

GBP/USD Current price: 1.4303

 

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The GBP/USD pair trades at its highest for the week, a few pips above the 1.4300 level. The pair recovered sharply from a daily low of 1.4193 reached with the London opening, with no actual catalyst behind the run, but the continuation of the upward momentum seen on Monday. There was no data coming from the UK, and if anything, the latest Stability Outlook report from the BOE has been negative, given that it said that the outlook has worsened since November 2015. Nevertheless, the pair presents a bullish tone, with the RSI indicator in the 1 hour chart heading slightly higher and the price accelerating above its 20 SMA. In the 4 hours chart, the price is back above its 200 EMA, now the immediate support around 1.4265, while the technical indicators head sharply higher within positive territory, indicating a continued advance towards the 1.4335 region, the 61.8% retracement of the latest daily decline.

Support levels: 1.4265 1.4230 1.4190

Resistance levels: 1.4335 1.4370 1.4410

USD/JPY Current price: 113.43

 

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Holding near the highs, despite dollar’s weakness. The USD/JPY  pair turned south ahead of the US opening, but remains within its latest range above the 113.00 level. The pair advanced during the Asian session, on the back of poor Japanese, as retail sales fell 2.3% monthly basis in February, being the biggest drop since April 2014. Also,  news showed that PM Abe is still in track to raise the sales tax next 2017, in spite of latest rumors. The 1 hour chart shows that the price remains well above its 100 SMA, currently around 113.00, but that the technical indicators have turned lower, and are currently aiming to break below their mid-lines. In the 4 hours chart, the technical indicators also turned south within positive territory, but without confirming a downward move, which will be confirmed on a downward acceleration below the 112.75 support.

Support levels: 113.00 112.75 112.30

Resistance levels: 113.70 114.10 114.45

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