US ADP Non-Farm Employment Change: According to the ADP report companies added a hefty jobs gain of 298,000 in February, shifting away from the service-sector to goods producers. Economists expected an increase of 184,000. These results preceded the Non-Farm Payrolls report, with the healthy 235,000 gain, paving the way for the Fed’s recent rate hike. ADP report is expected to show a 191,000 jobs gain in March.
US ISM Non-Manufacturing PMI: US service sector expanded in February, climbing to 57.6 from 56.5 in January. Economists expected the index to remain unchanged. The majority of responders were positive about business conditions and the overall economy. The business activity index increased to 63.6 in February from 60.3 in January, reaching its highest reaching since February of 2011. The new orders index edged up 61.2 in February from 58.6 in January and the employment index climbed up to 55.2 in February from 54.7 in January. Non-Manufacturing PMI is expected to reach 57.1 this time.
US Crude Oil Inventories: U.S. crude stocks increased by 867,000 barrels in the week ending March 24, however refineries increased output, causing gasoline stocks and distillate inventories to decline. Analysts expected a higher reading of 1.4 million barrels. Gasoline stocks declined by 3.7 million barrels, U.S. crude imports fell 543,000 barrels per day.
US FOMC Meeting Minutes: Minutes from the Fed’s rate hike meeting in March will be released in April, providing an in-depth account on the reasons behind the 0.25 percentage point rate rise. Yellen said, in the press conference following the meeting that the economy is doing well and that policymakers are confident in the robustness of the economy. The minutes will also include the Fed’s outlook regarding further rate hikes this year.
USD day
- EURUSD
Update: A very tight movement on the pair, nothing new. As could be seen on the chart that the pair may continue going down to reach the downward side of the ascending channel seen on the chart above then a pullback is expected that it may reach again the level of 1.0800 during the week. On the other hand, breaching the downside of the channel can open the door for further downward movement during the week that it may reach the level of 1.0500.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.0800 ▪-1.0900 ▪ 1.0950 |
▪ 1.0500 ▪-1.0600 ▪ 1.0500 |
We remain bullish as long as the pair is traded within the ascending channel |
- GBPUSD
A head and shoulders patter has been successfully formed. The second shoulder of the patter (the trough) could be found around the level of 1.2380. That is because the pattern is bullish. We might go long if the pair managed to break through the level of 1.2610 (the neck line of the pattern) targeting the level of 1.2670 (as a first target) then in case the level of 1.2700 is broken, we expect that the pair may continue to rise during the week.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.2500 ▪-1.2600 ▪ — |
▪ 1.2400 ▪ 1.2040 ▪ 1.2000 |
We remain bullish as long as the pair is traded above the level of 1.2400 |
- GOLD
Update: The pair managed to reach the level of 1260 then as could be seen on the chart above that it showed some bearish candles so it went down and we believe that as long as the pair is traded below the level of 1260, we remain bearish that it would target the level of 1250. On the other hand, if the level of 1260 is broken, then the way is open for the pair to reach the level of 1270.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1260 ▪ 1270 ▪ — |
▪ 1220 ▪ 1190 ▪ 1180 |
We remain bearish as long as the pair is traded below the level of 1260. |
- AUDUSD
Update: The pair managed to break through the level of 1.7600 so we remain bearish. A harmonic pattern could be seen on the chart above and the pair is facing a strong support level around 0.7600. In case the level of 0.7600 is broken, then the pair may continue going down to reach the level of 0.7500 during the week. Otherwise, we are bullish.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 0.7720 ▪ 0.7800 ▪– |
▪ 0.7410 ▪ 0.7400 ▪ 0.7600 |
We remain bearish as long as the pair is traded below the level of 0.7600 |
- GBPJPY
Update: The pair’s performance in yesterday’s trading session was really bullish. That could be the sign we have been waiting for. So, we remain bullish as long as the pair is traded above the level of 137. The pair managed to reach the level of 138 and it continued going down that it reached the level of 137. The new scenario is that if the pair shows some positive factors we may go long targeting the level of 138 followed by 140.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 142 ▪ 142.70 ▪ — |
▪ 137 ▪ — ▪ — |
We remain bullish as long as the pair is traded above the level of 137 |
