Daily FX Analysis
Forex News: Yesterday’s price action was mostly bullish, due in part to a better than expected German ZEW Economic Sentiment survey (forecast 12.3, actual 17.0). The key resistance at 1.2000 was touched but it pushed price lower almost immediately.
Forex News: The pair remained in a relatively tight range for the most part of yesterday’s trading session and this can be attributed to the lack of major news releases. The European Final CPI came out with the expected value, so the impact was low.
Forex News: Friday was a bullish day for the pair and the US Dollar took a hit from disappointing U.S. Retail Sales (expected change 0.1%, actual change -0.2%). The pair moved above the 50 EMA but failed to close the week above 1.1960 resistance.
Forex News: Inflation in the United States improved, as shown by the CPI released yesterday (forecast 0.3%, actual 0.4%) but the US Dollar soon gave up all gains as the pair bounced at 1.1840 support.
Forex News: Yesterday the pair dipped below the bullish trend line but later in the day almost all the US Dollar gains were erased and price climbed back into the previous support.
Forex News: The US Dollar showed signs of recovery yesterday, a fact that generated a bearish session, with the pair moving back below the psychological level at 1.2000. The economic scene was calm, without notable events.
Forex News: Friday the pair retraced lower after hitting a high at 1.2092 but most of the drop was due to profit taking by the buyers, not necessarily seller strength. The economic scene was calm and did not have an impact on price direction.
Forex News: The ECB didn’t alter the rates but the Euro strengthened during Mario Draghi’s press conference and the pair approached the previous high. The ECB revised lower their inflation expectations but the forecast for economic expansion has increased to 2.2% from 1.9%.