Apr 23 2020 0
There was not much change in the fourth session. Today many important economic data are released. It can be said that this is the most eventful day of this week, so let's expect some new changes. Check out our chart analysis and choose the most suitable forex trading strategy.
- The US Energy Information Administration said the Cushing oil storage center is currently only available for about 16 million barrels and it could be filled next week at the rate of increase seen this month.
- The hedging premium in the euro area continued to expand as Italian Prime Minister Giuseppe Conte showed he could give up the fight on common debt issues at the EU summit on Thursday.
- The US Senate has passed a bill to support small businesses, including $484 billion worth of hospitals, and the House of Representatives will vote on the bill at the end of the week.
- British Prime Minister Johnson is currently facing a government call for an investigation into the handling of the coronavirus crisis after the government's published covid-19 death figures were deemed inaccurate and Hospitals lack medical equipment.
- Germany expects that the debt to gross domestic product (GDP) ratio will increase to 75.25% this year from 60% previously due to economic stimulus and coronavirus crisis handling.
- The GBP was under selling pressure after the Brexit issue came back, the risk of hard Brexit is obvious if there is no extension agreement in June.
- Analysts at BoA say gold prices could hit $3,000 in the next 18 months.
USDJPY continues to test the patience of traders when accumulating in a narrow range. The whole session only fluctuated 40 pips. On the daily chart, the price is also approaching the MA20. Maintain the old view: wait for the breakout to break below 107 and then sell short.
Prices on EURUSD are still falling as expected and are about to reach the bottom of 1,078. However, you should maintain only pending positions. Only add short positions when price breaks this bottom. The target is 1.06.
GBPUSD corrected slightly yesterday but this has little effect on our current short orders. The MA20 lines still hold. You can narrow the Stop Loss to reduce the risk. If the zone of 1.22 is broken, the next target is 1.20. When there is a breakout signal, you can add positions if necessary.
USDCAD price also dropped yesterday but it also did not affect the medium-term ‘long’ positions. Expect the price to soon break the resistance of 1.43 and approach the target of 1.45. The buyers only have to worry when the support zone of 1.40 is broken. For now, keep the position and narrow the Stop Loss.
AUDUSD has not created a noticeable signal that the price may continue sideway for a while. We pay attention to the two levels of 0.645 and 0.620. Price action in these two areas will determine our reaction.