Although there is still a slight bid tone for the dollar in the currency markets, the trend is more or less sideways now in the major pairs. The currency markets are reluctant to show any trend ahead of today’s and tomorrow’s U.S. economic data for March, an important month to determine whether the economy might have seen its trough. The earnings season has also started with possible disappointments for the equity market which is still in a strong inverse relation with the dollar. Since Wall Street is in overbought condition by now, disappointments in business results can trigger substantial profit-taking.
We expect a sideways trend in today’s market in the major pairs, which are right now showing some strength for the dollar in early European trading. The projected trading ranges are listed below. Today’s market-moving U.S. March economic data releases are consumer prices, at 14:30 CET, industrial production and capacity utilization, scheduled for 15:15 CET.
Intraday Market Outlook for Day Traders
EUR / USD
The pair trended lower during Asian trading, recovering only slightly in European morning trading, and is currently at 1.3250. We see a sideways market in development today, between 1.3290 on the upside and 1.3190 on the downside.
GBP / USD
Cable tried another attack on the 1.4950 resistance line in early European trading, and is currently priced at 1.4930. We doubt the 1.4950 mark will be substantially broken in today’s trading, anticipating a see-saw market between that level and 1.4850 on the downside.
USD / CHF
The dollar is slowly gaining more ground against the Swiss franc in European morning trading and is currently at 1.1410. We see further upmoves limited around the 1.1450 level and expect a test on the downside at the 1.1370 support.
USD / JPY
After a weak Asian session, the dollar started a more pronounced recovery against the yen in early European trading, from lows around 98.20 to now 99.10. We do not expect that recovery to continue much more in today’s trading, reaching a maximum of 99.40. Setbacks from that level could then set in, down again to 98.60.
We expect a sideways trend in today’s market in the major pairs, which are right now showing some strength for the dollar in early European trading. The projected trading ranges are listed below. Today’s market-moving U.S. March economic data releases are consumer prices, at 14:30 CET, industrial production and capacity utilization, scheduled for 15:15 CET.
Intraday Market Outlook for Day Traders
EUR / USD
The pair trended lower during Asian trading, recovering only slightly in European morning trading, and is currently at 1.3250. We see a sideways market in development today, between 1.3290 on the upside and 1.3190 on the downside.
GBP / USD
Cable tried another attack on the 1.4950 resistance line in early European trading, and is currently priced at 1.4930. We doubt the 1.4950 mark will be substantially broken in today’s trading, anticipating a see-saw market between that level and 1.4850 on the downside.
USD / CHF
The dollar is slowly gaining more ground against the Swiss franc in European morning trading and is currently at 1.1410. We see further upmoves limited around the 1.1450 level and expect a test on the downside at the 1.1370 support.
USD / JPY
After a weak Asian session, the dollar started a more pronounced recovery against the yen in early European trading, from lows around 98.20 to now 99.10. We do not expect that recovery to continue much more in today’s trading, reaching a maximum of 99.40. Setbacks from that level could then set in, down again to 98.60.
