Keep Your Eye On The US GDP Growth This Week!
A sharp drop in the Euro supported the US dollar last week. The EURUSD pair broke down 1.1285 and then moved down towards the daily support level of 1.1219. Concerns that the Eurozone Economy is slowing were strengthened in after weaker-than-expected manufacturing reports from Germany and France.
Looking ahead, there’s a wave of economic data coming out this week. Focus on GDP Growth for Q1, Existing Home Sales, New Home Sales and Core Durable Goods Orders in the US.
The advance reading of the first-quarter GDP will be released on Friday, with forecasts for its stay at 2.2%.
Existing Home Sales measure monthly sales of previously owned single-family homes and is expected to fall by -2.3% m/m in March. If the data post a weak reading, it would be negative for the greenback.
On the other hand, the US Durable goods orders excluding transportation in the meantime are expected to rise to 0.2% in March from -0.1% fall in the previous month.
In addition to the US data, the German IFO Business Climate Index will be published on Wednesday. The index based on a survey of manufacturers, builders, wholesalers and retailers and it measures expectations of German Economic Activity for the next six months. The Index is expected to rise to 99.9 from 99.6 a month ago.
Watch out for the main support level of 1.1219. As long as the EURUSD pair stays above 1.1219 on a daily basis, the downward movement may be limited and we will see 1.1285 as a key resistance level again. Otherwise, if the pair breaks down below 1.1219, the next daily support level can be found at 1.1103.
Support: 1.1219 - 1.1103 - 1.0980
Resistance: 1.1285 - 1.1355 - 1.1450
The GBPUSD pair closed last week below the 1.2994 daily level. As long as the price trades below 1.2994 on a daily basis, the bearish action may continue and we will watch the support level at 1.2931. On the other hand, if the price goes beyond 1.2994, the next resistance level will be at 1.3055.
Support: 1.2931 - 1.2871 - 1.2807
Resistance: 1.2994 - 1.3055 - 1.3152
The BoJ Monetary Policy Decision will be announced on Thursday. No change is expected in monetary policy. The BoJ Governor Haruhiko Kuroda will hold a press conference afterward to discuss the decision. His comments will be significant for the yen.
Focus on the main support level of 111.85 in the USDJPY. As long as the pair trades above 111.85 on a four hourly basis, the rise may continue and we will watch the 112.36 daily resistance level. On the other hand, if the price drops below 111.85, the daily support level will be placed at 111.18.
Support: 111.85 - 111.18 - 110.35
Resistance: 112.36 - 112.98 - 112.97
The GOLD Price showed a downward movement and it closed last week below the major resistance level of 1278. As long as the yellow metal price stays below 1278, on a four hourly basis, the downward movement may gain more momentum and we will see 1266 as a daily support level. On the other hand, if the price goes beyond 1278, the next resistance level will be found in 1291.
Support:1266 - 1256 - 1249
Resistance: 1278 - 1291 - 1305
21 Apr 19 (Sun)
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