Forex.ee: Daily economic news digest

[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Wednesday, February 15th

Once again the EUR/USD pair has come under bearish pressure after brief recovery during Asian trades, as Fed Chair J.Yellen’s testimony is still suppressing the market. Yesterday during the Q&A session at Senate Banking Committee, Fed Chairwoman J.Yellen said that it would be reasonable to hike rates in upcoming months, however, noting that she cannot say which month would be the most appropriate for next rate increase. Moreover, Yellen’s hawkish outlook restored confidence on US economic growth prospects under D.Trump’s presidency. Currently the main currency pair is trading around the level 1.0550, having lost a smile in early Europe. Looking ahead, another busy NA session is approaching the market, while EU docket contains only trade data, which most likely won’t have any impact on the pair.

The GBP/USD pair remains in the region of its recent lows after double trouble, experienced yesterday. On Tuesday the pair lost a cent in wake of disappointing UK inflation figures that came lower markets expectation, sending the pair to test 1.2443 level. Moreover, any attempts of recovery were limited by following hawkish Fed Chairwoman J.Yellen’s testimony, that improved market’s appetite for US rate hikes. By the time of writing the pair was trading at 1.2455, awaiting for UK data from labor market, while batch of US releases, scheduled on NA session, will also bring fresh trading opportunities to investors.

The Aussie has recovered most part of its losses vs. its American counterpart from post-Yellen lows. Yesterday the AUD/USD pair fell sharply, following global market’s sentiments, based on Fed Chair J.Yellen’s hawkish comments. During her speech Yellen stressed that waiting too long to hike rates could be unwise, thereby living doors opened for further rate increases in upcoming FOMC meetings. However, the pair managed to recover a smile right after crucial events, as significant risk hunger, seen in Asian, underpinned sentiments around higher-yielding currencies, such as Australian dollar. Today second round of J.Yellen’s testimony will overshadow any other events scheduled in data calendar for this Wednesday.

Seems that US bulls have lost momentum somewhat allowing the USD/CAD to retreat from its session highs. Currently the pair is trading around flat line in the area of 1.3070 down from its session peaks, posted at 1.3095 handle, despite greenback’s bid tone, based on J.Yellen’s hawkish comments and softer crude oil prices. Another eventful session is scheduled for the pair this Wednesday with US inflation reports, US retail sales, crude oil inventories by the EIA and the second testimony by Yellen before the House Financial Services Committee that will take center stage in NY session.

The main events of the day:
UK Average Earnings Index +Bonus – 11.30 (GMT +2)
UK Claimant Count Change – 11.30 (GMT +2)
US Core CPI – 15.30 (GMT +2)
US Core Retail Sales – 15.30 (GMT +2)
US Retail Sales – 15.30 (GMT +2)
Fed Chair J.Yellen Testimony – 17.00 (GMT +2)
US Crude Oil Inventories – 17.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0517 R. 1.0663
USDJPY S. 112.76 R. 115.24
GBPUSD S. 1.2379 R. 1.2591
USDCHF S. 1.0006 R. 1.0112
AUDUSD S. 0.7581 R. 0.7737
NZDUSD S. 0.7103 R. 0.7229
USDCAD S. 1.2985 R. 1.3149

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[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Thursday, February 16th

The EUR/USD bounced off its 5-week lows yesterday, posted at 1.0521 spot, and now is extending its recovery above the level 1.06, despite stronger-than-expected set of macro data from the US economy. Greenback’s bulls lost its upside momentum yesterday, as Fed Chair Janet Yellen provided the market with cautious comments during her second testimony, stressing that economic indicators are somewhat disappointing lately, thereby forcing the US dollar to retreat vs. basket of its main competitors. However, currently the main currency pair is trading around 1.0610 level, awaiting for ECB monetary policy meeting minutes for the next leg of directional move, while data from the US housing market and Philly Fed manufacturing index will also be monitored for fresh trading opportunities in NA session.

The AUD/USD pair has been quiet choppy for the last couple of trading sessions, once again refreshing its 3-month highs at 0.7732, on the back of dovish testimony of Fed Chair J.Yellen, seen yesterday. However, mixed data from the Australian labor market forced the pair to change its direction and to step below the level of 0.77. This morning Australia released Full Employment Change report, showing sharp drop in full-time jobs, while total Employment Change came in green. Now traders’ attention is focused on another bloc of fundamental reports from the US economy for fresh impetus during early NA session.

Softer tone around the greenback is allowing the GBP/USD pair to recover part of its this week losses. Yesterday the pair gained upside traction, as J.Yellen failed to provide another bullish momentum to the dollar during her second testimony before the Joint Economic Committee. Moreover, better tone around higher-yielding assets is also supporting the pair, as broad post-Yellen’s rally starts to fade away. Now the GBP/USD is trading close to its session highs, marked at 1.2500, however, UK disappointing fundamentals, witnessed this week, are still weighing the pound. Today the UK docket remains empty, leaving the pair at the mercy of dollar’s price dynamics and US dataflow, scheduled on early New-York trades.

The dollar/yen is extending its bearish rally after brief consolidation phase, seen in Asia. Currently the pair is trading at 113.75, down from its yesterday’s peaks, posted just a few pips below 115 level in wake of upbeat dataset from the US economy. However, the pair lost its upside momentum, as cautious comments from Fed Chairwoman J.Yellen overshadowed positive results of the US economy on Wednesday, forcing the buck to retreat across the board. Today US dollar’s price dynamics will remain as exclusive driver of pair’s near-term movement, while US initial jobless claims, data from US housing market and Philly Fed manufacturing index will also grab part of traders’ attention in NA session.

The main events of the day:
US Building Permits – 15.30 (GMT +2)
Philadelphia Fed Manufacturing Index – 15.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0626 R. 1.0648
USDJPY S. 113.49 R. 113.73
GBPUSD S. 1.2473 R. 1.2537
USDCHF S. 1.0000 R. 1.0030
AUDUSD S. 0.7679 R. 0.7727
NZDUSD S. 0.7216 R. 0.7242
USDCAD S. 1.3021 R. 1.3051

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[EEAnalytics]

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Friday, February 17th

The EUR/USD pair corrects lower toward 1.0640 level after brief consolidation phase, witnessed during Asia. The main currency pair has lost its upside momentum after significant bullish run from its Wednesday’s multi-week lows. However, the dollar remains weak, as the currency market continues to digest recent dovish speech by Fed Chairwoman J.Yellen, who showed disappointment about US economic results. And even yesterday’s batch of positive macroeconomic releases was unable to break dollar’s bearish rally. Moreover, yesterday D.Trump during his speech once again failed in providing any clarity on his further economic and political steps, thereby discouraging traders from opening long-dollar bets. Currently the pair is trading within striking distance of its recent lows, following global markets sentiments, in wake of absolutely empty economic calendar this Friday.

The GBP/USD pair stays on a negative territory, following market’s sentiments, stepping away from its overnight highs, marked at 1.2511. At the moment of writing the pair was trading near the mid-point of 1.24, as bears finally took control over the pair in wake of broad pound’s weakness, triggered by recent awful UK inflation data. On the other hand, weaker sentiments around the dollar, based on dovish J.Yellen’s testimony and lack of details over D.Trump’s taxation reform, are restricting pair’s further fall. Today only UK Retail Sales data will be able to bring some impetus to the pair, as the US docket will keep silence at the end of this week.

The dollar/yen pair expands its bearish rally after short consolidation, seen in Asia. Currently the pair is trading within striking distance of its recent lows, marked in the region of 113 spot, as the dollar continues to suffer from recent events on the economic field of the US. Adding to that, shrinking risk appetite is also collaborating pair’s downside traction. With no relevant fundamental triggers scheduled on this trading session, the US price dynamics and prevalent risk-off sentiments will continue to determine pair’s further direction.

The NZD/USD pair is losing ground today extending its slide further below 0.7200 handle in wake of weak NZ fundamentals. The pair came under strong selling pressure in early Asia, as a drop in NZ business PMI and red numbers of Retail Sales have capped the pair from its further growth, despite broad dollar’s weakness. Moreover, prevalent risk-off sentiments are also negatively influencing higher-yielding assets, such as Kiwi. Nothing much is scheduled in data calendar for this Friday, so the pair will remain at the mercy of US dollar price-actions during this trading session.

The main events of the day:
UK Retail Sales– 11.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0557 R. 1.0737
USDJPY S. 112.30 R. 114.76
GBPUSD S. 1.2419 R. 1.2557
USDCHF S. 0.9907 R. 1.0085
AUDUSD S. 0.7655 R. 0.7751
NZDUSD S. 0.7183 R. 0.7257
USDCAD S. 1.2981 R. 1.3123

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[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Monday, February 20th

The euro failed several attempts to recover against its American peer in Asia and now is trading just a few pips above the level 1.06. Today slightly better sentiments around the US currency are weighing the pair, capping EUR/USD near 1.0615 level and driving it away from its overnight peaks, marked at 1.0633 spot. Moreover, positive German PPI data, seen in early european session, also couldn’t bring any bullish impetus to the pair. At the start of this week economic calendar remains absolutely empty, while the US market will stay closed today in observance of Presidents’ Day, thereby leaving the pair at the mercy of USD price dynamics.

Today the AUD/USD pair has managed to regain a smile, reversing part of its losses, after two consecutive sessions of decline. Currently the pair is trading within striking distance of its daily highs, marked at 0.7690, despite minor recovery of the US dollar. Seems that Australian bulls are back in business driving the pair in north direction, as higher commodities, especially copper and oil, are significantly supporting Aussie this Monday. Today the pair will continue to follow global market’s sentiments amid thin trading volumes, as the US is celebrating Presidents’ Day this Monday.

The dollar is trading on a firm note today, allowing the USD/JPY pair to step back above the level 113, after three consecutive south-directed sessions. Seems that US bulls have regained a smile this Monday, after crucial events on the US political field, seen last week. Moreover, weak Japanese Trade Balance data, released in Asia, are also collaborating with pair’s recent recovery. However, today any sharp movements are not expected, as trading volumes will remain thin in wake of President’s day holiday in the US. Nothing much is scheduled in data calendar for this Monday, so the pair will continue to trace global market’s sentiments to determine its further direction.

The GBP/USD pair is building some gains this Monday, correcting higher after sharp losses, seen last week. Currently the pair is trading near 1.2430, however, any recovery of the pair remains fragile, as the House of Lords will debate on UK PM May’s Brexit plan due later in the week. Looking ahead, the US market is closed today in observance of Presidents’ Day, while data calendar will also keep silence this Monday, leaving the major under the influence of global market’s trend.

The main events of the day:
United States - Presidents’ Day
Canada - Family Day

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0558 R. 1.0702
USDJPY S. 112.08 R. 113.86
GBPUSD S. 1.2311 R. 1.2557
USDCHF S. 0.9940 R. 1.0074
AUDUSD S. 0.7621 R. 0.7733
NZDUSD S. 0.7150 R. 0.7234
USDCAD S. 1.3024 R. 1.3158

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[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Tuesday, February 21st

The EUR/USD pair dipped back below the level of 1.06 in Asia, refreshing its five-day lows at 1.0542 level. Today the common currency came under strong selling pressure, as worries around Greece crisis are gathering a pace. Yesterday Greece and euro zone resumed discussion over aid payments to support Greek economy. Moreover, pre-election opinion poll in France showed that National Front leader Marin Le Pen is pulling into the lead with 27% of votes, additionally weighing the pair. Furthermore, euro bulls ignored better-than-expected flash German Manufacturing PMI data, published this morning, bringing no relief to the common currency. Today the US docket will keep silence for the second session in a row with only couple of Fedspeaks to show in NA session, so the pair will continue to follow global market’s trend during this Tuesday.

Today the Aussie is losing ground vs. its American competitor in wake of slightly dovish RBA Meeting Minutes, published in Asia. The CB of Australia has left its policy outlook unchanged, however, providing the market with cautious comments on the labor market. Moreover, strong demand for the US currency is also collaborating with pair’s decline. Today the major will keep following USD price dynamics and overall risk trend to determine its further direction, while several speeches by FOMC members and data set from Australian economy, scheduled on next Asian session, will also be closely watched for fresh short-term trading opportunities.

The GBP/USD pair fails to sustain its growth despite positive risk trend, witnessed in early Europe. Today strong pick up in the demand for the greenback is majorly driving the market, sending the pair to refresh its today’s lows at 1.2418. Moreover, cautious sentiments around the pound, triggered by debates on Article 50 in The House of Lords, are additionally weighing the pair. However, expected that there won’t be any amendments made during discussion. Today BoE will publish its February Inflation Report that will grab most part of traders’ attention as well as following Bank Governor M.Carney’s and his colleagues’ speeches, scheduled on European session.

The USD/CAD pair pays little of attention to better crude oil prices and approaches the mid-level of 1.31. Strong US dollar’s pick-up in demand across the board is driving market’s sentiments as of late. Seems that investors prefer to price in today’s Fedspeaks and FOMC minutes, scheduled on tomorrow. Today all eyes will be focused on US dollar’s price actions, while sentiments around oil prices will also be able to influence the pair amid lack of fundamentals from both economies.

The main events of the day:
BoE Governor M.Carney’s Speech – 12.00 (GMT +2)
BoE Inflation Report Hearings – 12.00 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0585 R. 1.0645
USDJPY S. 112.58 R. 113.48
GBPUSD S. 1.2368 R. 1.2528
USDCHF S. 0.9994 R. 1.0060
AUDUSD S. 0.7648 R. 0.7710
NZDUSD S. 0.7158 R. 0.7208
USDCAD S. 1.3052 R. 1.3144

Your European ECN-broker,
Forex.ee

[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Wednesday, February 22nd

The euro continues to lose a ground vs. its American competitor, spiking the level of 1.05. Seems that US bulls are still pretty confident in the pair with the euro ahead of FOMC Meeting Minutes, that could shed some light on prospects of further Fed’s monetary policy tightening measures. Moreover, the euro remains under selling pressure, as political concerns surrounding French elections are gathering pace. Today trading session promises to be pretty volatile as Germany will publish its Ifo Business Climate Index, EU will release final CPI data while the US has prepared data from housing market and FOMC Meeting Minutes, which will take center stage in New York’s afternoon.

The AUD/USD continues to build its gains after brief consolidation during Asian trading session. Yesterday the pair got strong bullish momentum after slightly cautious comments of L.Mester, head of the Federal Reserve Bank of Cleveland. However, the pair has eased part of its gain, and now is trading at 0.7689 spot, as traders refrain from making important decisions ahead of major event of this day –FOMC Meeting Minutes, that could bring additional clarity over prospects of interest rate increase at the next Bank’s meeting in March.

The GBP/USD pair eases part of its gains after facing strong resistance just above 1.2500 level. The pound was showing strong resilience vs. greenback, despite broad bid tone around the dollar during this week. Moreover, seems that pound bulls are still full of steam, as Brexit concerns are fading away especially after the House of Lords didn’t make any amendments during debates over UK PM T.May plan of separating UK from Eurozone. On the data front, today UK will release its another flash GDP report, while the US docket has Existing Home Sales and FOMC Meeting Minutes due to be published in NA session.

Today the USD/JPY pair is trading in south direction in wake of softer greenback’s positions. Yesterday the pair lost its upside momentum, as Cleveland Fed President L.Mester delivered her slightly cautious comments on rate hike outlook. On the other hand, the major finds some support from recent dovish talks of BOJ Governor H.Kuroda, who once again stressed that the Bank is ready to ease further if needed to hit 2% inflation target. Looking ahead, US Existing Home Sales are due along with key FOMC Meeting Minutes, scheduled on NA session.

The main events of the day:
UK prelim. GDP– 11.30 (GMT +2)
EU CPI – 12.00 (GMT +2)
Canadian Core Retail Sales – 15.30 (GMT +2)
US Existing Home Sales – 17.00 (GMT +2)
FOMC Meeting Minutes – 21.00 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0469 R. 1.0647
USDJPY S. 112.79 R. 114.21
GBPUSD S. 1.2371 R. 1.2531
USDCHF S. 0.9992 R. 1.0158
AUDUSD S. 0.7630 R. 0.7712
NZDUSD S. 0.7102 R. 0.7216
USDCAD S. 1.3069 R. 1.3201

Your European ECN-broker,
Forex.ee

[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Friday, February 24th

The EUR/USD pair extends its recovery from 1-1/2 month lows, posted just a few pips below 1.05 level on Wednesday, and now is trading at 1.0598 spot. Pair’s strong recovery could be explained by lack of details on Trump’s “phenomenal” tax reforms in recent US Treasury Secretary S.Mnuchin’s speech, that has only intensified sell-off around the dollar. Moreover, recent FOMC Meeting Minutes, classified by market as dovish in response to lack of any indicators on Fed rate hike’s date, continue to fuel broad dollar’s retreat. However, growing concerns over French elections and economic situation in Greece are limiting pair’s further gains. Today the docket of Eurozone will keep silence, while the US economy will publish only New Home Sales report during NY trades, so the pair will continue to follow global markets sentiments until the US release.

The dollar/yen pair fails in several attempts to recover this morning, keeping its range below 113 mark. Yesterday another wave of offers hit the dollar, forcing it to retreat across the board, after US Treasury Secretary S.Mnuchin during his speech failed to unveil further details on D.Trump’s tax reforms, stressing that they will be implemented by August, 2017. Moreover, ongoing dollar’s weakness, triggered by cautious FOMC Meeting Minutes, is also suppressing dollar’s positions as of late. Today only data from US housing market will be able to determine next leg of directional move for the pair in NA session, but until then the pair will continue to trace global market’s trend.

The Aussie is outperforming the greenback on all fronts this Friday. The AUD/USD pair caught fresh bids in early Asia after RBA Governor P.Lowe delivered his speech, damping expectations of RBA’s further rate cuts. Moreover, higher commodities, especially copper prices, and broad weakness around the buck are significantly supporting the major. However, AUD/USD pair was last seen trading around 0.7710 level, retreating from its multi-month highs posted at 0.7740 handle, as bulls seem to be exhausted, allowing the greenback to recover some ground. Later in the day, the US economy will release New Home Sales, while further pair’s recovery seems to be unlikely, as traders will continue to perform profit-taking actions at the end of this week.

The USD/CAD pair is following global market’s trend and extends its rally below 1.3100 level at the end of this week. Cautious FOMC Meeting Minutes and growing uncertainty around US president D.Trump’s fiscal policy remain as key drivers across the market, driving the major into red territory. Even softer tone around oil prices, despite better-than-expected Crude Oil Inventories numbers by EIA, can’t provide enough support to US bulls. Looking ahead, Canadian Core CPI and US New Home Sales will be able to bring some trading opportunities to investors later in NA session.

The main events of the day:
Canadian Core CPI – 15.30 (GMT +2)
US New Home Sales – 17.00 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0513 R. 1.0629
USDJPY S. 111.96 R. 113.78
GBPUSD S. 1.2381 R. 1.2647
USDCHF S. 1.0014 R. 1.0140
AUDUSD S. 0.7631 R. 0.7781
NZDUSD S. 0.7142 R. 0.7290
USDCAD S. 1.3031 R. 1.3205

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[Jannet]

I think Euro rate will go down.

[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Monday, February 27th

The GBP/USD pair is extending its bearish pattern at the start of a new week, stepping below the level of 1.23. Today the pound once again is losing ground on weekend’s headlines, citing that UK PM T.May and First Minister of Scotland N.Sturgeon are preparing to trigger a new Scotland independence referendum in March, straight away after implementing Article 50. Moreover, recent news from UK has provoked huge wave of risk aversion sentiments across the market, additionally weighing the pound. Today another portion of the US data set will be able to bring fresh trading opportunities later during NA session, while tomorrow’s D.Trump’s speech before Congress will remain eagerly eyed for any clarity over his further fiscal policy.

The Aussie has lost a smile vs. its American competitor, trimming some of its early gains. In Asia the AUD/USD pair caught fresh bids, as Australian corporate profits data showed solid increase, thereby strongly supporting the AUD. However, broad risk-off sentiments, triggered by recent news from UK, have forced the pair to retreat from its earlier peaks, marked at 0.7707, to its current region of 0.7685. Moreover, slightly softer tone around commodity space, seen this morning, is also negatively influencing Australian currency. Now investors await for first D.Trump’s address to Congress for any details over his further policy steps. In the meantime, US fundamentals, due to release during NY trades, will also have some impact on the pair.

The dollar/yen pair fell on today’s opening, refreshing its two-week lows at 111.91, in wake of strong risk-off sentiments, based on UK PM T.May’s call to trigger another Scotland independence referendum. On the other hand, reports that the BoJ is going to expand its bond-buying program have forced the pair to bounce off its Asian lows and to retake the level of 112.28. Later today, US Core Durable Goods Orders and Pending Home Sales will be able to determine next leg of directional move for the pair.

Seems that the euro bulls are back in business, allowing the EUR/USD pair to recover some ground after Friday’s drop. Pair’s recovery could be attributed to negative risk environment across the market amid recent headlines of a new independence Scottish referendum, that is supporting the euro as of late. Later today, investors will look forward to the US data bloc, while fresh developments surrounding French elections will also have strong impact on the pair. Moreover, the next big event for the buck remains D.Trump’s address to Congress, which could shed some light on his further economic and political changes.

The main events of the day:
US Core Durable Goods Orders – 15.30 (GMT +2)
US Pending Home Sales– 17.00 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0516 R. 1.0638
USDJPY S. 111.31 R. 113.35
GBPUSD S. 1.2368 R. 1.2612
USDCHF S. 1.0004 R. 1.0114
AUDUSD S. 0.7629 R. 0.7739
NZDUSD S. 0.7163 R. 0.7253
USDCAD S. 1.3009 R. 1.3161

Your European ECN-broker,
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[EEAnalytics]

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Wednesday, March 1st

And another solid comeback was staged by the EUR/USD pair yesterday after crucial speech of the US president before Congress. On Tuesday the dollar caught fresh wave of bids after D.Trump delivered his speech, talking about tax reform, infrastructure spending and higher military spending, however, bringing lack of details on his further plans. The level of expectations was set up very high, but no clues on when or how all changes would be performed were given during US president’s address to Congress. Moreover, March’s rate hike is back on the table, as San Francisco Fed’s president J.Williams has reignited expectations of interest rate increase on Fed’s next meeting, with positive outlook on the US economy and comments, that he doesn’t see any need to postpone rate hike. Currently the pair continues to trade in a red territory, as markets are still digesting latest Trump’s rhetoric. Looking ahead, now attention turns toward macrodata, with Manufacturing PMIs from both sides and German labor market reports.

The AUD/USD turned negative, following global markets sentiments, driven by D.Trump’s speech before Congress. Yesterday the greenback rose sharply vs. basket of its main competitors in response to US president’s talks of a $ 1 trillion infrastructure program, that will be financed by both public and private capitals. However, pair’s downside traction appears capped in wake of upbeat Australian GDP numbers and strong Chinese Manufacturing PMI report, that are supporting the Aussie somewhat. Next for note remains US ISM Manufacturing PMI, that will be released later in NA session, while the market will continue to digest recent US president’s speech, determining its further direction.

Today the USD/CAD pair refreshed its multi-week tops, posted at 1.3330 mark, in wake of recent US president’s address to Congress. Yesterday the pair received strong bullish impetus, gaining 150 pips since Tuesday’s lows, being influenced by Trump’s talks over fiscal and military spending, job growth and “historic” tax reform. Moreover, revived hopes of Fed rate hike at its upcoming meeting in March are also supporting pair’s upside rally. Today BoC Interest Rate Decision will take center stage. Expectedly the Bank will leave its rate unchanged, while following comments from policymakers will be able to bring some short-term trading opportunities.

The pound extends its bullish run for the fourth session in a row against its American peer, refreshing its three-week lows at 1.2350 spot. The demand for USD, fueled by recent D.Trump’s speech and risen prospects of interest rate increase at upcoming Fed’s meeting in March, is negatively influencing the pair as of late. However, US president’s talks offered nothing that could fuel further USD growth. Later today, Manufacturing PMIs from both economics will be able to bring some impact to the pair, while markets will continue to digest recent events from the US side.

The main events of the day:
UK Manufacturing PMI– 11.30 (GMT +2)
US ISM Manufacturing PMI – 17.00 (GMT +2)
BoC Interest Rate Decision – 17.00 (GMT +2)
US Crude Oil Inventories – 17.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0524 R. 1.0656
USDJPY S. 111.23 R. 113.65
GBPUSD S. 1.2311 R. 1.2505
USDCHF S. 0.9965 R. 1.0147
AUDUSD S. 0.7617 R. 0.7713
NZDUSD S. 0.7142 R. 0.7262
USDCAD S. 1.3109 R. 1.3409

Your European ECN-broker,
Forex.ee

[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Wednesday, March 1st

And another solid comeback was staged by the EUR/USD pair yesterday after crucial speech of the US president before Congress. On Tuesday the dollar caught fresh wave of bids after D.Trump delivered his speech, talking about tax reform, infrastructure spending and higher military spending, however, bringing lack of details on his further plans. The level of expectations was set up very high, but no clues on when or how all changes would be performed were given during US president’s address to Congress. Moreover, March’s rate hike is back on the table, as San Francisco Fed’s president J.Williams has reignited expectations of interest rate increase on Fed’s next meeting, with positive outlook on the US economy and comments, that he doesn’t see any need to postpone rate hike. Currently the pair continues to trade in a red territory, as markets are still digesting latest Trump’s rhetoric. Looking ahead, now attention turns toward macrodata, with Manufacturing PMIs from both sides and German labor market reports.

The AUD/USD turned negative, following global markets sentiments, driven by D.Trump’s speech before Congress. Yesterday the greenback rose sharply vs. basket of its main competitors in response to US president’s talks of a $ 1 trillion infrastructure program, that will be financed by both public and private capitals. However, pair’s downside traction appears capped in wake of upbeat Australian GDP numbers and strong Chinese Manufacturing PMI report, that are supporting the Aussie somewhat. Next for note remains US ISM Manufacturing PMI, that will be released later in NA session, while the market will continue to digest recent US president’s speech, determining its further direction.

Today the USD/CAD pair refreshed its multi-week tops, posted at 1.3330 mark, in wake of recent US president’s address to Congress. Yesterday the pair received strong bullish impetus, gaining 150 pips since Tuesday’s lows, being influenced by Trump’s talks over fiscal and military spending, job growth and “historic” tax reform. Moreover, revived hopes of Fed rate hike at its upcoming meeting in March are also supporting pair’s upside rally. Today BoC Interest Rate Decision will take center stage. Expectedly the Bank will leave its rate unchanged, while following comments from policymakers will be able to bring some short-term trading opportunities.

The pound extends its bullish run for the fourth session in a row against its American peer, refreshing its three-week lows at 1.2350 spot. The demand for USD, fueled by recent D.Trump’s speech and risen prospects of interest rate increase at upcoming Fed’s meeting in March, is negatively influencing the pair as of late. However, US president’s talks offered nothing that could fuel further USD growth. Later today, Manufacturing PMIs from both economics will be able to bring some impact to the pair, while markets will continue to digest recent events from the US side.

The main events of the day:
UK Manufacturing PMI– 11.30 (GMT +2)
US ISM Manufacturing PMI – 17.00 (GMT +2)
BoC Interest Rate Decision – 17.00 (GMT +2)
US Crude Oil Inventories – 17.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0524 R. 1.0656
USDJPY S. 111.23 R. 113.65
GBPUSD S. 1.2311 R. 1.2505
USDCHF S. 0.9965 R. 1.0147
AUDUSD S. 0.7617 R. 0.7713
NZDUSD S. 0.7142 R. 0.7262
USDCAD S. 1.3109 R. 1.3409

Your European ECN-broker,
Forex.ee

[EEAnalytics]

Daily economic digest from Forex.eeStay informed of the key economic events

Friday, March 3rd

The EUR/USD pair eases part or its recovered positions from its weekly lows, marked yesterday at 1.0495, as euro bulls apparently are out of steam as of late. Yesterday the pair managed to bounce off from its key support level of 1.05 and recover some ground, as strong risk-off sentiments supported the euro somewhat. Additionally, seems that traders are performing some profit taking actions in USD longs especially in light of another wave of Fedspeaks, scheduled on NA session. Now all focus remains on the bloc of local EU service PMIs and final Eurozone’s services PMI report, scheduled on European session, while US ISM Non-Manufacturing PMI and speech of Fed Chair J.Yellen will take center stage during NY trading session.

Seems that USD bulls have taken a breather allowing the AUD/USD pair to bounce off from its monthly lows, posted at 0.75432 in Asian session on Friday. Yesterday the buck picked up significant strength across the market amid growing chances of this month rate hike on upcoming Fed’s meeting, forcing the pair to lose more than 120 pips. Moreover, yesterday’s green numbers from the US labor market and negative results of Caixin Services PMI are providing extra bearish pressure on the pair. Today traders will focus their attention on US ISM Non-Manufacturing PMI and couple of Fedspeaks with J.Yellen’s speech in a main role.

The Kiwi extends bearish run against its American counterpart for the sixth session in a row on Friday on divergence between monetary policy outlooks of the Fed and RBNZ. The NZD/USD pair remains the weakest major of this week, as hawkish talks of US policymakers are rising hopes of this month rate hike, while cautious rhetoric of RBNZ Governor G.Wheeler has left doors opened for any further NZ monetary policy easing. Moreover, weaker Chine services PMI report is also adding some bearish pressure on the pair at the end of this week. Focus now remains on US ISM Services PMI data and a flurry of Fedspeaks, including Fed Chairwoman J.Yellen’s speech, which will be able to provide fresh clues on when the US interest rate will be raised.

The dollar/yen pair retreats from its two-week highs, marked at 114.59 on Thursday, as US bulls are out of steam this morning. Currently the pair is trading in south direction, breaking four sessions’ winning streak and refreshing its daily lows at 114.07, despite broadly stronger greenback’s positions. Pair’s retreat could be explained by increased demand for safe-haven assets, fueled by poor Chinese data, lending extra support for the yen. On the other hand, bloc of mixed Japanese data with inflation numbers and reports from JP labor market are limiting further USD/JPY pair’s downside traction. Today the pair will continue to follow USD price dynamics, as traders are preparing for the another round of Fedspeaks, with J.Yellen’s speech in a main role.

The main events of the day:
UK Services PMI – 11.30 (GMT +2)
US ISM Non-Manufacturing PMI – 17.00 (GMT +2)
Fed Chair J.Yellen’s Speech – 20.00 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0460 R. 1.0574
USDJPY S. 113.31 R. 115.13
GBPUSD S. 1.2205 R. 1.2337
USDCHF S. 1.0057 R. 1.0183
AUDUSD S. 0.7479 R. 0.7727
NZDUSD S. 0.6988 R. 0.7186
USDCAD S. 1.3292 R. 1.3450

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Monday, March 6th

The EUR/USD pair steps higher in early Europe in wake of strong risk-off sentiments across the market after brief pull back during Asia. However, seems that US bulls are fighting hard for the control over the pair, as the market is still digesting recent J.Yellen’s speech, in which she admitted that rate hike at upcoming committee meeting would likely be appropriate, however, noting that the final decision will depend on employment and inflation data. On the other hand, investors react negatively on Swiss CB member’s comments, that M.Le Pen will likely win in presidential race, thereby fueling speculations around French elections. Nothing much is scheduled for this Monday in data calendar from both sides, so the pair will keep following global market’s sentiments to determine its further direction.

The Aussie corrects higher against its American competitor after brief post-Yellen bearish rally, seen in Asia. Currently the AUD/USD pair is trading in south direction, as morning’s Australian Retail Sales data showed positive numbers, meeting markets expectations. However, broadly reduced risk appetite and returning demand for the US currency, as the market is still digesting last Fed Chair J.Yellen’s speech, are weighing the pair this Monday. Today the US data calendar is remaining relatively empty, so the AUD/USD pair will keep tracing the USD price dynamics, while focus now turns on RBA Interest Rate decision, scheduled on next Asian trading session.

The GBP/USD pair drifts in north direction at the start of this week after massive comeback, seen in Friday. Seems that US bulls are back in business today, taking control over the pair, as the market is still digesting recent Fed Chair J.Yellen’s direct hints at rate hike on the upcoming FOMC meeting. Moreover, any pair’s recovery remains fragile, as uncertainty over Brexit negotiations and UK’s weak fundamentals, seen lately, are also collaborating to pound’s retreat across the market. Today both economic calendars will keep silence, leaving the pair at the mercy of global market’s sentiments, led by growing expectations of Fed refi rate increase at the next committee meeting.

Today the dollar/yen extends its Friday’s decline from two-week highs, marked at 114.75 in Friday, as the dollar was unable to benefit from J.Yellen’s hawkish rhetoric. Currently the pair is trading within striking distance of its today’s lows, posted at 113.60, in wake of broadly shrunk risk appetite. Moreover, cautious sentiments are starting to gather pace across the market also collaborating with demand for safe haven assets, as we are getting closer to crucial jobs report from the US economy, scheduled on this Friday. Today RO-RO trend and USD price dynamics will remain as key drivers for the pair, as only secondary data reports are due for release during this trading session.

The main events of the day:
None

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0454 R. 1.0706
USDJPY S. 113.23 R. 115.13
GBPUSD S. 1.2182 R. 1.2354
USDCHF S. 1.0030 R. 1.0158
AUDUSD S. 0.7523 R. 0.7633
NZDUSD S. 0.6973 R. 0.7101
USDCAD S. 1.3327 R. 1.3459

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Tuesday, March 7th

The EUR/USD pair is attempting to recover from its overnight lows, located at 1.0573, but still keeps its range below the 1.06 level. Yesterday bid tone around the greenback picked-up pace across the market, fueling a fresh bout of selling interest behind the EUR/USD, as traders have started to price in Fed rate hike on the upcoming committee meeting. However, ongoing risk-off sentiments, fueled by geopolitical tensions surrounding North Korean missiles launch as military exercises with a view to a possible strike against US military bases in Japan, continue to support the common currency. Now immediate focus turns on EU GDP reports, while the US calendar remains data quiet this Tuesday. Besides, growing expectations of March Fed rate hike and developments surrounding French elections will also have a significant impact on the pair during this trading session.

The Aussie has eased part of its post-RBA gains vs. the greenback. As it was widely expected the RBA maintained its status quo and kept the bank rate unchanged at 1.5%, with following RBA Governor P.Lowe’s neutral statement on further economic growth pace. Currently the pair is trading at 0.7615, as softer tone in commodity space, especially around the iron, forced the pair to retreat from its recent highs, posted at 0.7632 spot. Today amid lack of fundamentals the pair will continue to trace USD price dynamics, as US bulls remain underpinned by growing chances of March Fed rate hike.

The dollar/yen pair once again came under selling pressure, as ongoing risk-off moods are still gripping the market. Yesterday it became aware that North Korea launched multiple missiles towards Japan, thereby triggering huge wave of risk aversions across the market. On the other side, according to agency Reuters, the probability of refi rate increase on upcoming Fed meeting, scheduled on the next week, is nearly 90%. Such numbers are provoking traders to price in hawkish Fed’s move, thereby strongly supporting the buck across the market. Looking ahead, the data calendar is absolutely empty this Tuesday, so risk trend and sentiments around the greenback will remain as key drivers for the pair during this trading session.

The GBP/USD pair is extending this week bearish trend in wake of intensifying Brexit concerns. The ongoing uncertainty over Brexit negotiations continues weighing the pair lately, as the House of Lords voted last week in favor of amending the bill, which should take into account interests of EU citizens residing in Britain after the country leaves the EU. Such bureaucracy may cause a delay in triggering article 50, which is scheduled at the end of this month. Today amid lack of fundamentals the major will keep following global market’s sentiments, influenced by Fed interest rate hike expectations as of late, while developments surrounding Brexit negotiation will also be able to trigger some pair’s sharp moves.

The main events of the day:
Canadian Ivey PMI – 17.00 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0533 R. 1.0663
USDJPY S. 113.27 R. 114.43
GBPUSD S. 1.2177 R. 1.2331
USDCHF S. 1.0050 R. 1.0164
AUDUSD S. 0.7547 R. 0.7625
NZDUSD S. 0.6954 R. 0.7064
USDCAD S. 1.3348 R. 1.3454

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Thursday, March 9th

The EUR/USD pair bounced off its recent lows, marked at 1.0525 spot in early Europe, and now is trading around mid-point of 1.05. The major currency pair is staying directionless, as traders are remaining in anticipation of key risk event of this day – the ECB monetary policy decision, with following ECB President M.Draghi’s conference. Expected that the ECB will keep its rate and QE program unchanged, while any monetary policy outlook improvements, considering growth of inflation and solid manufacturing data, will be able to determine next legs of directional move for the pair. Moreover, today besides ECB meeting, the EU Summit will also take place, where main themes for the discussion will be Greece and Brexit.

The USD/CAD pair pulled back slightly, having faced resistance at 1.3500 level this morning. However, the Looney remains highly pressured lately, as numerous factors are collaborating with pair’s further growth. Yesterday the positive US ADP report fueled market’s expectations of better NFP numbers, which in its turn will be able to provide some clues on Fed rate hike at the upcoming meeting. Moreover, solid increase in US Crude Oil Inventories forced the commodity-linked Looney to extend its drop vs. American neighbor, despite positive data from Canadian housing market, also seen yesterday. Today only secondary data reports are scheduled in event calendar from both sides, so the pair will continue to follow global market’s sentiments during this trading session.

The AUD/USD pair remains in a red territory, however, having managed to recover some pips in early Europe. Seems that bears have took a breather after strong rally, triggered by another set of poor Chinese data, allowing the pair to recover some ground from six-week lows, posted at 0.7503 handle this morning. Moreover, chances that the Fed will increase its rate on the next week remains at 90% mark, underpinning US dollar’s positions across the market. With lack of fundamentals in today’s docket the pair will remain influenced by USD price dynamics, while investors are awaiting for Friday’s payrolls data for fresh near-term trading opportunities.

The pound continues to lose ground against its American peer for the fourth session in a row in wake of ongoing demand for the US currency. Today poor Chinese inflations figures, following yesterday’s disappointing trade balance data, prolonged risk-off trend across the market, thereby negatively influencing the pound. Moreover, ongoing demand for the USD, underpinned by yesterday’s upbeat ADP jobs report, is also adding some bearish pressure to the pair. Today’s docket remains relatively empty, so now all focus turns on the ECB policy decision, which will be able to bring some impetus to the pair.

The main events of the day:
ECB Interest Rate Decision – 14.45 (GMT +2)
ECB Press Conference – 15.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0509 R. 1.0589
USDJPY S. 113.09 R. 115.41
GBPUSD S. 1.2098 R. 1.2248
USDCHF S. 1.0109 R. 1.0173
AUDUSD S. 0.7470 R. 0.7636
NZDUSD S. 0.6858 R. 0.7004
USDCAD S. 1.3359 R. 1.3567

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Friday, March 10th

The EUR/USD remains firmer today on yesterday’s M.Draghi’s talks. Yesterday as it was widely expected the ECB left its interest rate unchanged, while following ECB President M.Draghi’s comments during his Press Conference appeared less dovish, strongly supporting the euro across the board. Draghi noted that he does not see any need of further monetary policy easing, thereby hinting on recovery of the Eurozone economy. Moreover, softer sentiments around the US dollar in wake of profit-taking actions is also supporting the pair today. However, further gains remain capped amid broad cautious sentiments ahead of key event of this Friday – NFP. However, now immediate focus remains on second round of the EU summit, that will be able to provide the market with fresh clues on Brexit and developments around Greek economy.

The AUD/USD pair stalled its recovery around 0.7525 level amid typical nervousness ahead of crucial Friday’s jobs report. The pair bounced off its overnight lows, as traders took some profits off the table after significant USD rally against its main competitors, witnessed this week. Moreover, improved risk-on sentiments, witnessed in Asia, are also supporting the Aussie this Friday. However, expectedly that risk-on rally won’t last long, as we are getting closer to key event of this day – NFP, that will grab most part of investors’ attention in NA session.

Today the dollar/yen pair refreshed its seven-week highs above the level of 115. The pair met fresh offers in Asia and now is trading within striking distance of its multiweek highs, posted at 115.46, as market participants remained unimpressed by poor Japanese data. Moreover, better tone around higher-yielding assets, seen in Asia, is also collaborating with pair’s strong upside rally as of late. On the other hand, increasing cautiousness ahead of the US payrolls data is limiting pair’s further gains. Looking ahead, today data from the US labor market, scheduled on NA session, will take center stage, overshadowing all other events.

The GBP/USD pair is showing minor activity at the end of this week, keeping its range near 1.2160 level. The pair stalled its yesterday’s sharp decline and entered consolidation phase in Asia, as improved risk-on sentiments provided the pound with the much-needed support. However, the pair will continue to stay pressured during European trades, as Wednesday’s ADP report offered a very healthy outlook for today’s crucial US jobs data, thereby lifting higher chances of March Fed rate hike. Today besides key NFP report, UK will release Manufacturing Production, that will also be able to bring some impetus on the pair.

The main events of the day:
UK Manufacturing Production – 11.30 (GMT +2)
EU Leaders Summit – 12.00 (GMT +2)
US Nonfarm Payrolls – 15.30 (GMT +2)
US Unemployment Rate – 15.30 (GMT +2)
Canadian Employment Change – 15.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0481 R. 1.0663
USDJPY S. 114.02 R. 115.46
GBPUSD S. 1.2101 R. 1.2225
USDCHF S. 1.0055 R. 1.0193
AUDUSD S. 0.7466 R. 0.7552
NZDUSD S. 0.6873 R. 0.6929
USDCAD S. 1.3455 R. 1.3561

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Monday, March 13th

The EUR/USD pair eases from its daily highs, marked above the level of 1.07, after significant rally, performed despite better than expected Friday’s jobs report. Dollar’s weakness can be explained by the fact that market participants had already priced in positive numbers of NFP, while hourly wages came out below estimates. On the other hand, further pair’s growth looks fragile, as better-than-expected Payrolls once again showed green light for March Fed rate hike. Moreover, increased odds for M.Le Pen’s win at French election race are weighing the common currency, as Le Pen’s win in elections might lead to France’s exit from the EU. Today all eyes will be focused on ECB President M.Draghi’s speech, while main risk event of this week remains the FOMC decision, scheduled on Wednesday.

The buying interest around the GBP/USD pair has been intensified this morning amid softer tone around the greenback. Seems that American bulls remained unimpressed by Friday’s data from US labor, allowing the pair to correct higher above the level 1.22. However, ongoing uncertainty surrounding the Brexit process is suppressing pound’s further growth. Nothing much is scheduled in today’s docket, so traders will continue closely watching developments surrounding the Brexit process, while USD price dynamics will also be able to provide the pair with some impetus.

The dollar/yen extends its Friday’s corrective bearish slide, as softer tone around the greenback continues to drive the market this Monday. Currently the pair is trading around 114.60 level, as NFP, witnessed at the end of the last week, failed to stir up US bulls, allowing the pair to step back from its seven-week highs, posted at 115.50 spot. Moreover, market’s participants remained indifferent to mixed data from Japan, as cautious sentiments are gathering pace across the market ahead of the FOMC decision, forcing traders to lock-in some profits. Today the US data calendar will remain silent, so the pair will continue to trace global markets sentiments during this Monday.

The USD/CAD pair consolidates part of its Friday’s huge drop, based on positive data from Canadian labor market. Additionally, traders are closing dollar’s longs, taking some profits off the table ahead of key event of this week, thereby supporting pair’s bearish trend. Also, mild correction around oil prices, seen this morning, is supporting commodity linked Looney. Looking ahead, the calendar remains relatively empty at the start of the week, so USD price actions will continue to determine pair’s further direction.

The main events of the day:
ECB President M.Draghi’s Speech – 15.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0519 R. 1.0775
USDJPY S. 114.10 R. 115.82
GBPUSD S. 1.2106 R. 1.2214
USDCHF S. 1.0050 R. 1.0164
AUDUSD S. 0.7473 R. 0.7589
NZDUSD S. 0.6864 R. 0.6976
USDCAD S. 1.3372 R. 1.3560

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Tuesday, March 14th

The EUR/USD pair is extending its bearish trend after brief consolidation, seen in Asia. The major currency pair has reversed part of its last week’s gains, triggered by solid sell-off around the dollar, and now is trading in 1.0640 region, as traders continue to price in interest rate increase on the upcoming FOMC meeting. Tomorrow’s Fed rate hike is a done deal, while investors will closely watch for any clues on further Fed monetary policy tightening. Looking ahead, today Germany and Eurozone will publish its ZEW Economic Sentiments, while US will release Producer Price Index, that is due later in NA session.

The GBP/USD pair breaks out of its bearish consolidative pattern and slumps to its 8-week lows, marked at 1.2125 in wake of returning demand for the US currency. Moreover, the pound remains heavily sold-off today, despite news that UK Parliament officially gave permission to begin Brexit process, that finally sheds some light on the overall developments surrounding Brexit. Following crucial news, UK Brexit minister D.Davis noted, that the government will trigger the Article 50 by the end of this month as it was planned before. Growing cautiousness ahead of both interest rate decisions is additionally suppressing the pound, thereby limiting any chances of pair’s recovery. Today the US PPI data will remain in focus, while global market’s sentiments, driven by USD price-actions, will continue to determine pair’s further direction.

The AUD/USD pair came under strong selling pressure in wake of new wave of buying interest around the greenback, easing most part of yesterday gains. Currently the pair is trading near its daily lows, marked at 0.7540, as weak NAB Business Confidence has added some bearish pressure to the pair, while positive Chinese manufacturing data failed in providing any positive impetus to the pair. Moreover, broad nervousness ahead of the key event of this week is also collaborating with pair’s offered tone lately. Today only US PPI data is scheduled for release, so the pair will continue to trace sentiments around the US dollar to determine its further direction.

Today the USD/CAD pair is trading with a smile at 1.3470 level after two consecutive sessions of losses in wake of broad demand for the greenback. Seems that traders are pricing in tomorrow’s Fed rate hike, as probability that the rate will be increased at upcoming committee meeting is more than 90%. Moreover, strong support from US bulls forced the pair to shrug off improved sentiments around crude oil prices, relegating it to a second role. Today the pair will continue to trade following global markets sentiments, while the US will release PPI data later in NY trading session.

The main events of the day:
US PPI – 14.30 (GMT +2)

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0609 R. 1.0735
USDJPY S. 114.30 R. 115.20
GBPUSD S. 1.2101 R. 1.2309
USDCHF S. 1.0027 R. 1.0139
AUDUSD S. 0.7506 R. 0.7624
NZDUSD S. 0.6892 R. 0.6964
USDCAD S. 1.3404 R. 1.3496

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Friday, March 17th

The EUR/USD pair stepped away from its 6-week highs, posted at 1.0782 mark this morning, however, is still remaining firmer at the end of this week. Yesterday the pair caught another wave of bids, as market reacted in favour of EUR on far-right candidate G.Wilder’s failure on Dutch presidential election race, thereby easing somewhat political concerns surrounding the Eurozone. Moreover, the pair received additional bullish momentum on the back of hawkish comments from the ECB member E.Nowotny, who noted that the EU Bank is also ready for further monetary policy tightening, but it may differ from Fed measures. Today after highly volatile week the economic calendar remains silent, leaving the pair at the mercy of global market’s sentiments, driven by recent crucial events.

The GBP/USD pair broke out of its consolidation pattern at European opening and resumed its growth, as the dollar remains weak at the end of this week. Currently the pair is trading in 1.2390 region, as GBP bulls are back in business after short breather during Asia. On Thursday the pound caught strong boost after hawkish BoE meeting, where Bank’s members voted 8-1 to keep interest rate unchanged, with a one vote for a rate hike. Such ratio of votes triggered rumors across the market of further BoE interest increase, thereby lifting the pair for more than a cent. Moreover, adding to pair’s bid tone the market continues digesting recent dovish FOMC meeting, collaborating with softer tone in the greenback. Nothing much is scheduled in data calendar on this Friday, so the pair will continue to stay influenced by recent crucial economic events at the end of this week.

The USD/CAD pair caught fresh bids this morning, correcting higher after short consolidation in Asia, in response of US dollar’s attempts to recover some ground. However, further recovery is unlikely, as the greenback remains suppressed by recent less hawkish FOMC meeting, witnessed on Wednesday. Moreover, better tone around oil prices, following Wednesday drop in US Crude Oil Inventories, is also supporting commodity-linked Loonie. Today only secondary data are scheduled in both dockets, so sentiments around the USD will continue to stay as a key driver for the pair at the end of this week.

The AUD/USD pair moved away from its morning highs, marked at 0.7694, in response to attempts of the dollar to recover against the basket of its main competitors. Besides, softer tone around copper and shrinking risk appetite are also weighing the pair as of late. However, ongoing broad US dollar’s weakness is still gripping the market, so any further pair’s drop most likely will be limited. On the data front, nothing special is scheduled for the pair on this trading session, so the major will continue to follow broad market’s moods to determine its further direction.

The main events of the day:
None

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0681 R. 1.0811
USDJPY S. 112.60 R. 113.88
GBPUSD S. 1.2188 R. 1.2460
USDCHF S. 0.9915 R. 1.0035
AUDUSD S. 0.7633 R. 0.7739
NZDUSD S. 0.6923 R. 0.7077
USDCAD S. 1.3239 R. 1.3355

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Monday, March 20th

The EUR/USD pair remains positive at the start of this week amid broadly based greenback’s sell-off. The pair regains its region of five-week highs, reached during last trading session at 1.0782 spot, as the US currency is still broadly weakened by recent less hawkish Fed’s outlook on its interest rate. Moreover, news that E.Macron keeps leading in the French election race are also supporting the common currency. Nothing much is scheduled in data calendar from both sides, so USD price dynamics will remain as a key driver for the EUR/USD at the start of this week.

The Aussie continues to use broad dollar’s weakness, lifting the AUD/USD pair to its 5-month highs, posted at 0.7748 spot. Currently the pair is trading within striking distance of its recent tops, as the market remains influenced by last week’s cautious comments of Fed Chair J.Yellen. However, huge drop in commodities, especially in copper, that reached its 5-month lows, is limiting further Aussie’s gains on the back of recent G20 summit’s outcome. The Group of Twenty surprised investors by excluding any mentions from its communique of fighting against protectionism and its traditional endorsement of open trades, thereby broadly weighing commodity market. On the data space, the economic calendar will remain relatively silent today, leaving the pair at the mercy of global market’s sentiments on Monday.

The GBP/USD pair broke out of its consolidation phase on European opening and now is extending its bullish run, as investors continue to digest recent economic events. Last week both CBs held meetings, where Fed increased its interest rate, however, market’s participants considered FOMC meeting outcome as dovish on the back of cautious comments of Fed Chairwoman J.Yellen. Meanwhile, BoE members voted 8-1 to leave its refi rate unchanged, whit 1 vote for a rate hike, that left doors opened for further BoE monetary policy tightening. However, today any sharp moves of the pair will be limited, as traders remain cautious ahead of the final trigger of Article 50 after recent developments from both the House of Lords and the House of Commons. Today the pair will keep following global market’s sentiments amid absence of any important releases, scheduled in data calendar of this Monday.

The USD/CAD pair changes its course at the start of this week, easing part of its recovered positions. Seems that US dollar’s bulls are out of steam this Monday, allowing the pair to regain its down sided direction, as the market is still digesting dovish FOMC meeting’s outcome, witnessed on Wednesday. On the other, softer tone around oil prices is negatively influencing commodity-linked Looney, thereby limiting pair’s further drop. Looking ahead, today only secondary data reports will be released from both neighbor economies, so the pair will continue to follow global market’s trend to set up its further course.

The main events of the day:
Japan - Spring Equinox Day

Support and resistance levels for the major currency pairs:
EURUSD S. 1.0693 R. 1.0803
USDJPY S. 111.96 R. 113.82
GBPUSD S. 1.2292 R. 1.2454
USDCHF S. 0.9925 R. 1.0013
AUDUSD S. 0.7640 R. 0.7748
NZDUSD S. 0.6945 R. 0.7075
USDCAD S. 1.3266 R. 1.3416

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