I’m steering away from greenback pairs for at present for the reason that U.S. CPI might spur loopy volatility once more.
Right here’s what I’m watching on GBP/CAD as an alternative.
Earlier than transferring on, ICYMI, yesterday’s watchlist checked out AUD/USD’s bearish pullback for a risk-off setup. Make sure you take a look at if it’s nonetheless a legitimate play!
And now for the headlines that rocked the markets within the final buying and selling periods:
Recent Market Headlines & Financial Information:
Japanese financial institution lending up by 0.5% as anticipated
Japanese producer costs rose 9.5% vs. 9.2% forecast, 9.7% earlier
Japanese finance minister Suzuki jawbones extra FX volatility
Crude oil holds its floor as Shanghai eases some lockdown measures
Asian shares trying wobbly forward of U.S. inflation information
Australian NAB enterprise confidence index climbed from 13 to 16 in March
German remaining CPI unchanged at 2.5% as anticipated
U.Ok. claimant rely down 46.9K vs. projected 41.1K decline
U.Ok. jobless fee improved from 3.9% to three.8% as anticipated
U.Ok. common earnings index climbed from 4.8% to five.4% as anticipated
Eurozone and German ZEW financial sentiment index at 9:00 am GMT
U.S. headline and core CPI at 12:30 pm GMT
FOMC member Brainard’s speech at 4:15 pm GMT
Use our new Forex Warmth Map to shortly see a visible overview of the foreign exchange market’s value motion! 🔥 🗺️
What to Watch: GBP/CAD
I’m seeing this inverted head and shoulders sample on the hourly timeframe of GBP/CAD, so I’m gonna keep the lookout for a reversal.
The pair has but to interrupt above the neckline across the 1.6500 main psychological resistance to substantiate that an uptrend is underway.
If that occurs, GBP/CAD might climb by the identical top because the chart formation or roughly 200 pips!
Technical indicators are trying combined, however I can’t assist however discover the bullish transferring common crossover that simply happened.
Stochastic is within the overbought zone, which signifies that consumers are exhausted and will use a break. In that case, sellers may nonetheless take over and produce GBP/CAD again all the way down to close by help ranges.
Earlier at present, the U.Ok. printed comparatively upbeat jobs figures, with the claimant rely change and common earnings index posting enhancements.
On the flip aspect, the oil-related Loonie may very well be on weak footing because the lockdowns in China weigh on demand whereas the discharge of U.S. reserves boosts provide.