Dollar ends a 5-day winning streak

March 29, 2016

The US Dollar ended a 5-day winning streak yesterday as tepid PCE, and slower pace of consumer spending sent the US Dollar index to ease back from a 5-day high. Hawkish Fed speech continued but did little to help support the Greenback. The British Pound managed to make the most of a weaker Greenback yesterday with prices gaining 0.85% for the day. The Dollar is likely to stay subdued into Janet Yellen’s speech due later this afternoon as investors await for clues on further course of action from the Federal Reserve.

EURUSD Daily Analysis

EURUSD (1.11): EURUSD managed to close with a bullish engulfing candlestick pattern on the daily chart after nearly 6-days of losing streak. Prices reversed off the lows near 1.1153. Further upside is likely provided 1.120 level of resistance is cleared in the near term which would keep EURUSD back inside the range of 1.13 - 1.12. On the 4-hour chart, the Stochastics has posted a higher high against price's lower high which indicates a short term decline lower. Support at 1.113 to 1.1105 is critical in this aspect.

USDJPY Daily Analysis

USDJPY (113.65): USDJPY has managed to close on a bullish note yesterday marking a 7-day bullish run. Price action remains biased to the downside however unless the resistance at 114.7 - 114.35 is cleared. Support at 112.5 will be in focus as a break below this level could send USDJPY lower to 111.31 support, keeping prices subdued.

GBPUSD Daily Analysis

GBPUSD (1.42): GBPUSD closed on a bullish note yesterday closing above the 1.420 handle. A dip back to 1.42 could establish support ahead of further gains to 1.4430. The current resistance at 1.4247 - 1.4263 will likely keep the gains capped with a test of support at 1.4025 - 1.40 showing the daily session's downside bias for a test of support.

Gold Daily Analysis

XAUUSD (1218): Gold prices managed to close bullish after a lower open yesterday. Prices closed near 1221 but the downside bias to 1200 remains. There is scope for Gold prices to post a rally towards the 1225 level of resistance ahead of the declines to 1200 which is likely to offer strong support, at least, the initial test to this level. The 4-hour chart currently shows a strong hidden bearish divergence which confirmed the downside bias.

Publication source
Orbex information  Orbex reviews

October 21, 2016
Gold prices drop in Asia amid stronger greenback
On Friday, gold dropped during Asia trade amid a strengthening greenback as well as surging chances of a rate hike weighing on the hedge commodity...
October 21, 2016
ECB holds the rate unchanged with the pressure on Draghi
After a brief upturn seen in the late Asian trading, the currency retreats to the Wednesday close showing a tepid response to the ECB policy update. The New York FED leader William Dudley comments offered a support to the Dollar rally although the focus remained on the US inflation...
October 21, 2016
EURGBP Tests Major Support
This morning we saw the release of German PPI YoY and MoM figures for September. The former fell to -1.4%, compared to expectations of -1.2%. The latter was -0.2%, in line with expectations...

FIBO Group Rating
FXTM Rating
OctaFX Rating
FXCM Rating
Fort Financial Services Rating
Orbex Rating

OptionsXO Rating
OptionFair Rating
Anyoption Rating
365BinaryOption Rating
24option Rating
TropicalTrade Rating