DOLLAR Higher Ahead of FOMC Minutes.
This article is originally referred from FXPrimus News.
FXPrimus has summarized the important market indicators of the day.
Today’s Important Indicators
Majors saw a decline following a rise of the US DOLLAR after the 2-Year Yields appreciated reflecting investors views on Fed’s sentiment.
Commodities and equities fell as a result of a stronger US counterpart.
Market participants expect FOMC minutes for clues on inflation, European PMIs, the UK Jobs report as well as the UK inflation parliamentary testimonies.
Today’s Forecast for Important Trading Indicators
- EURUSD – Euro-Dollar breaks below 50% Fibo despite supportive data as greenback strengthens. The pair moved on the downside in the Tuesday session breaking the 50% and also 61.8% Fibonacci Retracements. In addition, price broke below the ascending trendline started on the 9th of February. Although a marginal bullish intra-hour momentum was seen following the release of the German ZEW Economic Sentiment EURO gave up as Consumer Confidence fell. Investors look forward to today’s PMI reports at 9:00 GMT.
- GBPUSD – STERLING ends session mixed ahead of Inflation report, GDP figures. CABLE traded sideways for a second consecutive session as bears held price below the $1.40 level. Intraday momentum found the bulls piercing the psychological level yet gains where only short-lived and price was rejected immediately. With the Jobs report due and the Inflation report hearings price could easily break above the said mark a breakout is expected after days of consolidation.
- USDJPY – Upside pressure on YEN threatening after last week’s gains, effects marginal so far. YEN lost nearly 80 pips against DOLLAR in the Tuesday session as the latter gained momentum following a sell-off in Equities and a rise in US Yields that was owed to market sentiment ahead of the FOMC minutes today at 19:00 GMT. DOLLAR is still concerning as investor appetite will depend on January’s FOMC.
- USOIL – OIL price rejected at $62.57 per barrel as greenback rebound weighs in. WTI fell yesterday following a recovery of the US Dollar as well as an increase in the US OIL production. Price declined by 70 cents as investor sentiment weighed in. Market participants focus on API’s Crude Stocks report due today at 21:30 GMT. Bears are currently pushing price lower below the $61.32 Fibo.
- XAUUSD – GOLD down $19/oz amid a rise in Yields owed to market sentiment surrounding FOMC. The precious metal saw a massive sell-off in the Tuesday session as the DOLLAR rebounded. Risk appetite increased as a result of a possible shift in Fed’s guidance given the up-tilt in inflation. Price is currently piercing the 1327 dip, 1318 could be next.
- US Indexes – DJ and S&P plummeted by 1.0% and 0.58% respectively.
- European Indexes – UK 100 remained unchanged while DE 30 surged 0.83%.
- Asian Indexes – ASX 200 remained unchanged, Nikkei 225 rose by 0.21%, Hang Seng trades a massive 1.17% higher.
- US Equities – Amazon soared 1.36% higher, Exxon Mobil plunged by 1.03%.
Original Source: FXPrimus News