Forex Signals Brief for Mar 24: USD on the March
Rowan Crosby • 2 min read
US equity markets were weak yesterday, while there was a clear push towards the safety of the USD.
The belief was that the German lockdowns, sparked a move to safety, but we have been seeing this back and forth in the US Dollar Index for some time. Powell and Yellen were obviously a focus also, but there was little of interest there other than more money printing.
The main story of interest for me yesterday, was the news that a large cargo freighter has blocked the traffic in the Suez Canal. This is a key shipping lane in the middle east and the implications of nothing get through are bigger than many think. This will be a story to monitor closely in the next 48 hours.
At the same time, we also have the Israel election unfolding with votes still being counted. Election fraud has been a major talking point over the past six months, with questionable results in the US, Myanmar, the Netherlands and New Zealand just to name a few. I will be very interested to see how this all plays out.
The Data Agenda
We will be waiting to hear from Powell again today, but as mentioned, we have not heard much new information.
There are some good data points to watch today including US core durable goods and also a host of PMI data from the UK and Germany.
Forex Signal Update
The FX Leaders Team grabbed the two wins on our EUR/USD signals as the Greenback jumped.
Make sure you follow our live signals as volatility could be on the rise with plenty of world events unfolding.
EUR/USD – Pending Signal
The EUR/USD has been very weak and we will be looking for more opportunities ahead.
EUR/GBP – Active Signal
The EUR/GBP has actually rebounded, thanks to even more weakness in the GBP. We remain short here.
BTC has been battling it out with the $54,000 level and so far the bulls are holding price up.
That said, we can see the early makings of a descending triangle formation which is also a very bearish sign.