Background news saturation on the first trading day of the week is weak, so market participants will try to take back past week positions.
16:00 * Vice President of the ECB Vitor Constancio Speaks – April (Eurozone)
23:10 *** Federal Reserve Chairperson Janet Yellen Speaks – April (USA)
However, more important for market makers can be information from the White House, the bombing of Syria. The manifestation of US power will further strengthen the USD.
EUR / USD
After an active trading Friday, today you can make a “breather”. The absence of important publications (at least, they are not planned for release today), can support a moderate correction of the EUR up.
So far, we focus on two factors:
1) Technical: Reversal candle configuration “Absorption” was formed on the monthly chart for December / January. Until true breakdown down to the level of 1.0300, there may be surprises in the form of renewed growth of the EURUSD pair.
2) Fundamental: Elections in France, which continues to drive fear to investors due to the uncertainty of prospects for the political future of the EU and creates a threat the EUR fall.
To the active trading recommendations within a day, you can add that the levels 1.0570 will be important (when you can lift up, you can reopen purchases), and 1.0600 (it is more likely that today’s growth will be limited by this mark).
USD / JPY
April 9, on Sunday, was published information on the positive dynamics of the current account balance of payments in Japan, which can be regarded as a moderately positive signal for the JPY. However, we recall that in the focus of the US and their policies (both external and internal), which creates a threat of adequate market reaction to any statistics from Japan.
Technically, sales are dangerous. It is seen that they continue to actively defend the support of 110.00. We will keep the conservative trading scenario: before the breakdown of the support level of 109.90, do not increase short positions.
GBP / USD
For the British currency, today is also uncertain. It is more likely that the pair will be traded in a moderate outset, as everyone is interested in inflation data, which are scheduled for publication on Tuesday (April 11). Before this news, no reason to actively buy, or continue selling.
AUD / USD
Very good to sell AUDUSD. Already today in Asia, quotes have almost reached our goal of 0.77467, which was the result of traders’ reaction to statistics on real estate investment volumes for February (falling 5.9% against growth of 4.2% in January). After the breakdown of the level of 0.77467, the target will be the level of 0.7380.