Sentiment Stabilized Somewhat But Euro Remains Pressured
Action Insight Mid-Day Report 3-2-22

Sentiment Stabilized Somewhat But Euro Remains Pressured

Market sentiment stabilized a bit on reports that Russia a suggests to hold another round of peace talks with Ukraine, while Vladimir Putin's forces continue to shell multiple crowded Ukrainian cities. Stocks are recovery but remain vulnerable to more selloff. In the currency markets, Swiss Franc is paring some gains but remains the strongest one for the week. Euro is staying under tremendous pressure. Canadian Dollar is mixed, awaiting BoC rate hike. In other markets, Gold is dipping mildly after rally stalled at around 1950. WTI crude oil continues to march higher towards 115 handle.

Technically, Sterling is not performing much better than Euro. GBP/CHF's fall from 1.2598 is accelerating towards 1.2134 support. Break there will resume larger down trend from 1.3070. That, if happens, could be accompanied by a break of 1.3158 low in GBP/USD and 148.94 support in GBP/JPY.

In Europe, at the time of writing, FTSE is up 0.67%. DAX is up 0.11%. CAC is up 0.47%. Germany 10-year yield is up 0.0058 at -0.015. Earlier in Asia, Nikkei dropped -1.68%. Hong Kong HSI dropped -1.84%. China Shanghai SSE dropped -0.13%. Singapore Strait Times dropped -1.04%. Japan 10-year JGB yield dropped -0.0474 to 0.134.

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

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1065; (P) 1.1149; (R1) 1.1208; More...

Intraday bias in EUR/USD remains on the downside at this point. Current fall is part of the down trend from 1.2348. Next target is 61.8% projection of 1.2265 to 1.1120 from 1.1494 at 1.0786. On the upside, break of 1.1273 resistance is needed to be the first sign of bottoming. Otherwise, outlook stays bearish in case of recovery.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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GMT Ccy Events Actual Forecast Previous Revised
21:45 NZD Building Permits M/M Jan -9.20% 0.60% 0.40%
21:45 NZD Terms of Trade Index Q4 -1.00% 0.90% 0.70% 0.40%
23:50 JPY Capital Spending Q4 4.30% 2.90% 1.20%
23:50 JPY Monetary Base Y/Y Feb 7.60% 8.60% 8.40%
00:01 GBP BRC Shop Price Index Y/Y Jan 1.80% 1.50%
00:30 AUD GDP Q/Q Q4 3.40% 2.90% -1.90%
08:55 EUR Germany Unemployment Change Feb -33K -23K -48K
08:55 EUR Germany Unemployment Rate Feb 5.00% 5.10% 5.10%
10:00 EUR Eurozone CPI Feb P 5.80% 5.30% 5.10%
10:00 EUR Eurozone CPI Core Feb P 2.70% 2.50% 2.30%
13:15 USD ADP Employment Change Feb 475K 320K -301K
15:00 CAD BoC Interest Rate Decision 0.50% 0.25%
15:30 USD Crude Oil Inventories 2.5M 4.5M
19:00 USD Fed's Beige Book