Market Brief
The Usd was weaker in the Asian session, as the traders positioned themselves in front of today’s critical ECB meeting and press conference. The EurUsd traded higher from 1.3200 to 1.3312, while the UsdJpy trended light up from 98.50 to 99.27. Asian regional indexes were significantly higher, with the Hang Sang closing up by 7.41% and European stock markets are also higher. For the rate decision portion of today’s events we are in line with market consensus view in expecting the ECB to cut its refinancing rate by 50bp to 1.00% and its deposit rate by 25bp to 0..25%. In regard to the ECBs stance on QE, speculation has been loud and vigorous with theories ranging from absolute denial of any form of non-conventional policy measures to aggressive buying of Eastern European Currencies. The rhetoric from ECB officials and press reports last week that began hinting at the potential for non-conventional measures corresponds with the reversal of the Euros sudden demise. We are opting for the middle path with the ECB announcing the purchase of corporate credit. Should the ECB choose to balance market opinion we expect the Euro to continue to gain strength over the greenback. Because of the explosive nature of today's events we caution traders to “Stay Vigilant”.
| Global Indexes | Current Level | % Change |
| Nikkei 225 Index | 8,719.78 | 4.4 |
| Hang Seng Index | 14,521.97 | 7.41 |
| Shanghai Index | 2,425.97 | 0.71 |
| FTSE 100 Index | 4,058.08 | 2.59 |
| DAX Index | 4,280.09 | 3.6 |
| SMI Index | 5,118.43 | 2.06 |
| DJIA futures | 7,845.00 | 1.64 |
| World Markets | Current Level | % Change |
| Gold | 920.46 | -0.76 |
| Silver | 13.01 | -0.41 |
| VIX | 42.28 | -4.21 |
| Crude wti | 50.02 | 3.39 |
| USD Index | 85.26 | -0.28 |
| Todays Calender | Estimates | Previous | Country / GMT |
| CIPS/Markit report on Construction (Mar) | 27.8 | 27.8 | UK / 8.30 |
| ECB Interest Rate Announcement | 1.00% | 1.50% | EZ / 11.45 |
| Initial Jobless Claims (Mar 28th) | 650K | 652K | US / 12.30 |
| ECB press conference | -- | -- | EZ / 12.30 |
| Factory Orders (Feb) | 1.40% | -1.90% | US / 14.00 |
Currency Tech
AUDUSD
R 3: 0.7142
R 2: 0.7094
R 1: 0.7038
CURRENT: 0.7062
S 1: 0.6771
S 2: 0.6724
S 3: 0.6566
EURJPY
R 3: 136.40
R 2: 134.50
R 1: 133.90
CURRENT: 131.80
S 1: 128.25
S 2: 126.41
S 3: 125.44
USDSGD
R 3: 1.5528
R 2: 1.5445
R 1: 1.5360
CURRENT: 1.5104
S 1: 1.5130
S 2: 1.5028
S 3: 1.4905
- S: Strong, M: Minor, T: Trendline, K: Keylevel, P: Pivot
