Currency Updates:
The Australian Dollar (AUD): The pair was trading in a relatively tight range yesterday of 20-25pips. However, the AUD held up very well given the US retails sales was very strong. RBA minutes will be due at 01:30GMT, even though major change is expected but market will focus on any statement regarding to the current strong AUD.
The AUD/USD: Given the strong USD was unable to push the AUD lower, the pair remains in an uptrend. Pivot point at 0.9375, Support at 0.9375, 0.9330 and 0.9290. Resistance comes in at 0.9430 and recent high of 0.9460.
EUR/USD: Europe and NY session continued to sell the EUR/USD on ECB’s comment in the weekend. However, NY make sure they do not fall into the short squeeze trap that killed them these past few weeks and maintained cautiously around 1.3808/1.3833 range. Market wait for more signals from ECB and also tensions in Ukraine picks up again.
USD/JPY: The Nikkei joined other major equity markets in recovering which helped the pair rallied to a high of 102. However offers at 102.10-20 drifted the pair back down to the 100-HMA & Cloud top. If 100 HMA & Hourly cloud breaks, market would try to target for 200 HMA at 102.55 area.
Looking Ahead – Economic Data (GMT)
• 00:01 CN FX Reserves Q1 f/c 3.922t, 3.820t-prev
• 00:01 CN M2 Money Supply YY Mar f/c 13.00%, 13.30%-prev
• 00:01 CN New Yuan Loans Mar f/c 1000.0b, 644.5b-prev
• 00:01 CN Outstanding Loan Growth Mar f/c 13.90%, 14.20%-prev
• 16:00 CN FDI (YTD) Mar 10.40%-prev
• 22:45 NZ CPI QQ Q1 f/c 0.50% 0.10%-prev
• 22:45 NZ CPI YY Q1 f/c 1.70% 1.60%-prev
Looking Ahead – Events, Other Releases (GMT)
• No Significant Events
