Sterling Dips after Dovish BoE Hike, Euro Mixed
Action Insight Daily Report 3-18-22

EUR/USD Pressing Resistance, Yen Continues as Biggest Loser after BoJ

Yen remains the weakest one for the week, following the extended rebound in US stocks overnight, and persistent strength in treasury yields. Swiss Franc and Dollar are also soft as distant second and third. Meanwhile, Euro is currently the best week performer, followed by Aussie and then Kiwi. Sterling's rally attempt was capped by the dovish BoE hike and is mixed for now.

Technically, there are two pairs to watch before the week ends. EUR/USD is back pressing 1.1120 resistance. Strong break there will but a sign of more sustainable rebound in the common currency for the near term. CHF/JPY is now heading back to 127.05 high, after drawing support from 55 day EMA multiple times. Break of 127.05 will resume larger up trend from 106.71, and would give Yen extra pressure ahead.

In Asia, at the time of writing, Nikkei is up 0.33%. Hong Kong HSI is down -2.38%. China Shanghai SSE is down -0.22%. Singapore Strait Times is up 0.13%. Japan 10-year JGB yield is up 0.0074 at 0.211. Overnight, DOW rose 1.23%. S&P 500 rose 1.23%. NASDAQ rose 1.33%. 10-year yield rose 0.004 to 2.192.

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Top Movers | HeatMap | Pivot Points | Pivot Meters | Action Bias | Vol

EUR/USD Daily Outlook

Daily Pivots: (S1) 1.1022; (P) 1.1079; (R1) 1.1150; More...

Intraday bias in EUR/USD remains neutral with focus on 1.1120 support turned resistance. Firm break there will confirm short term bottoming at 1.0805. Bias will be back on the upside for 55 day EMA (now at 1.1206). Sustained break there will raise the chance of medium term bottoming and target 1.1494 resistance. However, rejection by 1.1120 will maintain near term bearishness. Break of 1.0899 minor support should resume larger down trend from 1.2348 through 1.0805.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
23:30 JPY National CPI Core Y/Y Feb 0.60% 0.60% 0.20%
03:00 JPY BoJ Interest Rate Decision -0.10% -0.10% -0.10%
04:30 JPY Tertiary Industry Index M/M Jan -1.00% 0.40%
09:00 EUR Italy Trade Balance (EUR) Jan 3.05B 1.10B
10:00 EUR Eurozone Trade Balance(EUR) Jan -4.6B -9.7B
12:30 CAD Retail Sales M/M Jan 2.40% -1.80%
12:30 CAD Retail Sales ex Autos M/M Jan 2.30% -2.50%
13:30 CAD New Housing Price Index M/M Feb 0.60% 0.90%
15:00 USD Existing Home Sales Feb 6.18M 6.50M
15:00 USD Existing Home Sales Change M/M Feb -1.00% 6.70%