Forex Signals Brief for April 27: US GDP to Keep Up Pace in Q1

Yesterday’s Market Wrap

On Tuesday bank vowes came back as First Republic Bank shares dived around 44% which turned risk sentiment negative and sent safe havens higher. The USD took advantage of that, but yesterday we saw a reversal during the European session, as risk sentiment improved, sending the Euro and the GBP higher, which continued in early US trading as well.

Gold popped higher, almost reaching $2,010 while EUR/USD nearly touched 1.11. The jump in UH headline durable goods orders for March didn’t help the USD, as core orders remained negative. But, we saw another sudden reversal as the US session progressed and the uSD claimed back some of the losses. Crude Oil took another dive heading to $74, with the decline in US stock weighing on the price.

Today’s Market Expectations

Today we had the Tokyo core inflation which held steady in April, although retail sales slowed. The ANZ Business Confidence remained negative in New Zealand, showing that the economic sentiment is weak. Later we have the Q1 GDP report which is expected to show a slight slowdown in the US from 2.6% in Q4 to 2.0% in Q1 of this year. The Advance GDP Price Index is expected at 3.7%, down from 3.9% while Pending Home Sales are expected to show a 0.6% growth in March.

Forex Signals Update

Yesterday markets were slower compared to Tuesday’s panic trading, which sent risk assets diving lower. Yesterday we saw a comeback in risk currencies while the USD declined. We opened four trading signals, closing the day with three winning forex signals and a losing one.

The 100 SMA Still Keeping GOLD Down

Gold reversed higher on Tuesday afternoon after retreating from the lows as the price fell to $1,976. Buyers were trying to push above the 100 SMA (green) and we saw a jump to $2,009 as the USD fell through an air pocket, but reversed back down quickly to close the candlestick as an upside-down pin, below the 100 SMA.

XAU/USD – 240 minute chart

Booking Profit in USD/JPY Yesterday

EUR/USD continues to remain bullish, with moving averages acting as support on the H4 chart, particularly the 100 SMA (green). We predicted a continuation of the uptrend after the retreat to this moving average on Tuesday and yesterday buyers pushed the price close to 1.11. We opened two EUR/USD signals yesterday.

EUR/USD – 240 minute chart

Cryptocurrency Update

BITCOIN Popping Above $30,000 and Diving Back Down

Bitcoin and the rest of the crypto market was retreating lower since the middle of April, but yesterday we saw a surge during the European session, which sent BTC above $30,000. Although, we saw a quick reversal later in the evening and BTC lost around $2,500, faling back to the 50 daily SMA (yellow).

BTC/USD – Daily chart

Can the 50 SMA Hold in ETHEREUM?

The retreat last week sent the price below $1,900 but the 50 daily SMA held as support right at $1,800 and we opened a buy Ethereum signal which was looking good as the 50 SMA held the retreat. Yesterday we saw a jump toward $2,000 but the 20 SMA (gray) stopped the climb and ETH reversed back down to the 50 SMA.