Forex Signals Brief for April 10: Easter Bank Holiday Weekend Continues

Today markets are expected to remain quiet as the Easter bank holiday weekend continues, ahead of US inflation numbers

Skerdian Meta•Monday, April 10, 2023•2 min read

This liquidity should keep markets quite today

Last Week’s Market Wrap

Last week started with a surprise for Oil traders as OPEC and other Oil producing countries announced a production cut. Crude Oil opened with a $5 bullish gap, and US WTI ended up above $80, although it traded in a range for the entire week, as the economic sentiment deteriorated on soft economic data. Caixin manufacturing showed a slowdown in March, falling in stagnation in activity, which means that the demand for Oil might dwindle.

The economic data from the US also softened, with ADP employment and JOLTS jobs numbers missing expectations, which shows that the employment sector is experiencing weakness. The USD was bearish throughout most of the week although the NFP numbers and the tick lower in US unemployment rate might have saved the Dollar since it made a bullish reversal at the end of the week.

This Week’s Market Expectations

This week we will see if the USD will resume the decline from last week or if it will continue to make gains after the reversal on Friday. Although today markets will likely be very quiet, since we’re still in the bank holiday weekend for most of the world. Later this week, US consumer inflation is expected to show another slowdown for March, which would be another bearish factor for the USD.

Forex Signals Update

Last week the volatility was lower compared to most of March, with sentiment leaning slightly toward risk assets, while the USD was on a retreat for most of the week. We opened 26 trading signals, with 9 of them closing in loss while the rest reached the take profit target.

GOLD Finally Stabilizing Above $2,000

Finally broke above the major revel last week, although it is still not certain if it will remain there or fall back below. XAU retreated to the key support level at $2,000 and stalled there, which could suggest that buyers are stepping in to support the price. However, whether this support level will hold or not depends on various factors, such as market sentiment, economic data, and the US inflation.

XAU/USD – Daily chart

The 50 SMA Hold for [[EUR/USD]]

EUR/USD has been bullish since the middle of March, as it headed toward the major level at 1.10 on weak economic data from the US. Although the NFP report on Friday improved the sentiment for the UD and this pair retreated lower toward 1.09 where it closed the week, with the 50 SMA (yellow) holding as support.

EUR/USD – 240 minute chart

Cryptocurrency Update

BITCOIN Continues to Consolidate

Bitcoin achieved new highs in March, with buyers pushing the price above $29,000. However, they were not able to reach the take profit target below $30,000. So for this month, BTC has been trading sideways, although this is a positive sign for another assault to the upside.

BTC/USD – 240 minute chart

ETHEREUM Remains Supported by the 100 SMA

Ethereum broke above $1,900 yesterday after experiencing strong buying momentum again this week, following the consolidation in the previous week and our buy ETH/USD signal hit the take profit target as it pushed above $1,900. Moving averages have turned into support on the H4 chart with a decent support zone of around $1,700.

ETH/USD – 240 minute chart

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ABOUT THE AUTHOR See More

Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.