Having paid lip service against protectionism and for unilateral monetary policy, finance ministers and central bankers left the meeting with little new aspects for new direction in the major Forex pairs. Perhaps we have to wait for the big G20 meeting in early April, of which the G7 is a forerunner. One thought is worthwhile for now though. If central bankers are really doing what they are saying, i.e. make a unilateral monetary policy, then the euro will have further downward potential against the USD and other currencies, giving up its long-nourished interest rate differential. Market factors and chart-technical factors point that way too: More than 75% open long versus 25% short positions still are maintained in the euro, while the chart-technical picture worsened recently for the euro.
Short term, however, and for today’s trading, we do not expect the market to make decisive moves, i.e. the euro trading markably lower. Oversold as it now is, countermoves are in the cards today, the more that the EUR / USD pair is now trading in a solid support zone. Below are our projections for the major pairs for today. There are no fundamental data scheduled today known as market movers.
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
Deep into a solid support zone, the pair is currently trading at 1.2780 on a slight recovery path this European morning. We see this move to continuing moderately in today’s trading, eventually leading to prices around 1.2840, the resistance line.
GBP / USD
Again, cable tested the support at 1.4150 in late Asian trading and is continuing to recover, trading now at 1.4260. We see more of this recovery to come today, a level of 1.4370 is within reach.
USD / CHF
The dollar strengthened in Asian trading against the Swiss franc, consolidating its higher levels in early European trading. Currently priced at 1.1670, we do not see much more of an upmove in the making, and rather expect a setback to levels around 1.1600.
USD / JPY
The dollar has lost upward steam in Asian trading against the yen and continues to trade sideways in European morning trading, testing the resistance zone between 92.00 and current prices at 91.75. We do not see the 92.00 resistance being broken today significantly. Downmoves from there will be limited to support at 91.50.
Short term, however, and for today’s trading, we do not expect the market to make decisive moves, i.e. the euro trading markably lower. Oversold as it now is, countermoves are in the cards today, the more that the EUR / USD pair is now trading in a solid support zone. Below are our projections for the major pairs for today. There are no fundamental data scheduled today known as market movers.
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
Deep into a solid support zone, the pair is currently trading at 1.2780 on a slight recovery path this European morning. We see this move to continuing moderately in today’s trading, eventually leading to prices around 1.2840, the resistance line.
GBP / USD
Again, cable tested the support at 1.4150 in late Asian trading and is continuing to recover, trading now at 1.4260. We see more of this recovery to come today, a level of 1.4370 is within reach.
USD / CHF
The dollar strengthened in Asian trading against the Swiss franc, consolidating its higher levels in early European trading. Currently priced at 1.1670, we do not see much more of an upmove in the making, and rather expect a setback to levels around 1.1600.
USD / JPY
The dollar has lost upward steam in Asian trading against the yen and continues to trade sideways in European morning trading, testing the resistance zone between 92.00 and current prices at 91.75. We do not see the 92.00 resistance being broken today significantly. Downmoves from there will be limited to support at 91.50.
