US Crude Oil Inventories: The Energy Information Administration reported a crude oil draw of 2.2 million barrels for the week to April 7, a day after Saudi Arabia announced it was willing to join a production cut. Analysts had expected a moderate drop of 100,000 barrels. Oil prices soared after the U.S. ordered airstrikes against Syrian infrastructure, followed by production outages from Libya’s largest oilfield. The current prices are now at their highest since December.
New Zealand inflation data: The consumer price index rose 0.4% in the fourth quarter of 2016, beating forecasts for a 0.3% rise. High construction costs, rising energy prices, stronger domestic spending and demand for services from the country’s record number of migrants and tourists pushed up the index. The last increased has placed inflation in the target range of 1 to 3%. Economists expect the RBNZ will not change its monetary policy this year, anticipating a rate hike well into 2018 after inflation will recover toward 2%. CPI is expected to rise 0.8% in the first quarter of 2017.
USD
US Crude Oil Inventories
NZD
New Zealand inflation data
- EURUSD
Update: The pair managed to break through the level of 1.0680 which opens the door for further upward movements during the day that the pair may reach the level of 1.0750 followed by 1.0800 during the day. This is conditioned by the continuation of trading above the level of 1.0680 along with the down side of the ascending channel. Having the pair traded within the ascending channel shown on the chart may seem very bullish, but there is nowhere to enter the market at the time. So, we are waiting for the pair to break through one of the following levels: Resistance: 1.0680 – Support: 1.0560. Then there should be a strong movement if one of them is broken.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.0750 ▪-1.0700 ▪ 1.0800 |
▪ 1.0680 ▪-1.0500 ▪ — |
We remain bullish as long as the pair is traded above the downside of the ascending channel shown on the chart |
- GBPUSD
The pair managed to break through the level of 1.2670. So, our key level for today is 1.2670 (as a strong support level). We may go long again if the pair goes down to reach the level of 1.2670 (a pullback is expected around this level) targeting the level of 1.2800 during the day.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.2800 ▪-1.2750 ▪ — |
▪ 1.2600 ▪ 1.2670 ▪ — |
We remain bullish as long as the pair is traded above the level of 1.2670 |
- GOLD
Update: The same scenario. We do not recommend trading the Gold at the time. We believe that it is better to wait for the pair to reach 1307 then if it shows some negative factors we may go short targeting the level of 1300 followed by 1285. On the other hand, if the level of 1307 is broken, then the way is open for the pair to reach 1315 during the day.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1307 ▪ 1315 ▪ — |
▪ 1285 ▪ 1280 ▪ 1275 |
We remain bearish as long as the pair is traded below the level of 1307 |
- AUDUSD
Update: the pair is on its way to the level of 0.7500. The pair is facing a strong resistance level around 0.7600 so we believe that as long as the pair is traded below it, it is highly recommended to go short targeting the level of 0.7500. On the other hand, if the level of 0.7600 is broken, we may go long targeting the level of 0.7650 during the day.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 0.7650 ▪ 0.7600 ▪– |
▪ 0.7500 ▪ 0.7480 ▪ — |
We remain bearish as long as the pair is traded below the level of 0.7600 |
- USDCAD
Update: Our target (1.3350) was hit and the pair is facing a strong resistance level (the down trendline shown on the chart). There is also another harmonic pattern that has been formed on the 4h chart. It seems that the downtrend line meets the (PRZ) of the pattern which can lead to go during the day targeting the level of 1.3350 followed by 1.3300. This is conditioned by the continuation of trading below the level of 1.3430. As could be seen on the chart that the pair is forming a bullish Harmonic pattern. The (PRZ) of the pattern could be found at 1.3070. So, we will not trade this pattern until the pair reaches the level of 1.3070 then we can go long if it shows some positive factors.
| Resistance levels: | Support levels: | Recommended: |
| ▪ 1.3400 ▪ 1.3450 ▪ 1.3430 |
▪ 1.3350 ▪ 1.3300 ▪ — |
We remain bearish as long as the pair is traded below the level of 1.3430 Your capital is at risk! |
