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EUR/USD: bearish pressure persists

EURUSDH1_20160413125247.png


The EUR/USD pair plummeted below the 1.1300 level during the European morning, as a better-than-expected Chinese trade balance for March, fueled risk appetite, sending stocks sharply higher in Asian and Europe, and weighing on the EUR. According to official data, exports rose by 11.5% while imports decreased less-than-expected, by 7.6% yearly basis, while the trade balance came in at $29.86bn against previous $32.59bn. Data suggest that the economic slowdown seen late 2015 may have started to recede in the first quarter of this 2016.

The release of US data, stalled dollar's gains as Retail Sales for March fell by 0.3% against expectations of a 0.1% advance. The core reading posted a 0.2% against expectations of 0.4%. The Producer Price index was a huge disappointment, down 0.1% monthly and yearly basis. The ex food and energy figures also missed expectations.

The EUR/USD pair bounced from a daily low of 1.1294, and in the 1 hour chart, the technical indicators have turned sharply higher within oversold territory, but the price remains well below a bearish 20 SMA, currently around 1.1360. In the 4 hours chart, the technical indicators have stalled their declines near oversold territory, but remain far below their mid-lines, as the 20 SMA gains a limited bearish slope around 1.1390. Overall, the movement has been corrective, and the pair may recover further if it regains the 1.1330 region, yet a break below 1.1280 should see the pair extending its decline towards the 1.1200 region later today.

Support levels: 1.1280 1.1245 1.1200

Resistance levels: 1.1335 1.1380 1.1420
 
We are still short on the US Dollar

USD/CHF

The USDCHF pair showed positive trading yesterday to test the EMA50, which continues to form strong resistance barrier against the price positive attempts, which keeps the bearish trend scenario valid until now, reinforced by stochastic reach to the overbought areas thresholds now.

The price needs to break 0.9525 followed by 0.9474 levels to confirm opening the way to head towards 0.9243 that represents the next main target of the current bearish wave, taking into consideration that breaching 0.9580 followed by 0.9676 levels will turn the intraday and short term track to the upside.

Expected trading range for today is between 0.9450 support and 0.9620 resistance.

Expected trend for today: Bearish

usdchf-h41.png


NZD/USD

The NZDUSD pair rallied bullishly yesterday after it kept its stability above 0.6860 level, as it gets strong positive motive offered by stochastic, reinforcing the expectations of more rise in the upcoming period, waiting to test 0.7040 level as a next main station.

Therefore, we believe that the chances are valid to achieve more gains on the intraday and short term basis, to extend the positive targets towards 0.7330, while the price needs to hold above 0.6860 level to keep the chances of continuing the suggested positive expectations.

Expected trading range for today is between 0.6860 support and 0.7070

Expected trend for today: Bullish

nzdusd-h41.png


AUD/USD

The AUDUSD pair traded with clear positivity yesterday to begin testing 0.7700 barrier now, approaching from our first main target at 0.7760, waiting to breach this level to open the way to visit the main bearish channel’s resistance at 0.8010.

Stochastic and the EMA50 continue to offer the positive signals that support the expected rise, which its continuation conditions holding above 0.7515 and 0.7415 levels.

Expected trading range for today is between 0.7600 support and 0.7800

Expected trend for today: Bullish

audusd-h4.png
 
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Live Forex Chart

Currency
Rates
EUR / USD
1.12683
USD / JPY
158.109
GBP / USD
1.32775
USD / CHF
0.83084
USD / CAD
1.42418
EUR / JPY
178.035
AUD / USD
0.69831
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