On Wednesday, March 25, trading in the euro ended in decline. The euro fell in price against the dollar by 0.31%, to 1.1812. The pair fell to 1.1812 since the opening of the European session and until the close of the day traded in the range of 1.1812-1.1840.
The dollar's strength was helped by a rebound in U.S. Treasury yields from weekly lows, as well as concerns about the economic impact of COVID-19 lingering across Europe.
Scheduled statistics (GMT +3):
- 11:30 in Switzerland, the decision of the SNB on the interest rate will be announced.
- 12:00 in the euro area will be released economic bulletin from the ECB. Also, the eurozone will announce a change in the M3 aggregate of the money supply and the volume of lending to the private sector in February.
- 14:00 Britain is to publish the Confederation of British Industrialists' retail sales index for March.
- 15:30, the US will report on the change in the volume of GDP for the 4th quarter and the number of initial applications for unemployment benefits.
Current situation:
On Thursday, March 25, during trading in Asia, most currencies moved into positive territory. The yen suffers the largest losses. Interestingly, the leaders of growth are the New Zealand dollar and the Australian dollar. They correct after a prolonged fall and indicate a temporary increase in risk appetite.
The fall stopped at 112 degrees. For the euro, it is a reversal level. The currencies AUD and NZD are being adjusted. There are prerequisites for an upward correction to 1.1850. I just don't like the fact that the Stochastic Oscillator is in the sell zone. Since the hourly TF has a bearish trend, sellers can use the oscillator to generate sell signals.
From the statistics for today, we can single out the IFO indices, which Germany will publish at 12:00 Moscow time. At the American session, a report will be released with data on personal consumption expenditures. An important report from the US Federal Reserve to assess how much Americans are willing to spend money.
If the data from IFO surprises the market, there is a chance to see a session rally by 20-30 points. If Aussies and New Zealanders move lower, the euro will be below the 1.18 level.