In this article, we have covered the highlights of global market news about the GBP/USD, NZD/USD, AUD/USD and USD/CHF.
GBP/USD Price Analysis: For the bulls to maintain control, they must reach 1.2430 and 1.2450.
When it prods a short-term resistance confluence early on Tuesday, GBP/USD renews its intraday peak at 1.2430. By doing this, the Cable pair manages to turn around its early losses during the Asian session, despite resistance from the two-day-old horizontal region and the top line of a one-week bullish channel.
Nevertheless, many peaks identified since early December 2022 provide an extra upward obstacle of around 1.2445.
It’s important to note that the GBP/USD buyers have problems from the practically overbought RSI (14) as they contend with major upward obstacles.
As a result, the Cable pair’s most recent run-up seems improbable until the quotation remains below 1.2450; a breach of this level might send the quote toward its May 2022 high above 1.2665-70.
The round numbers 1.2500 and 1.2600 can serve as interim stops during the anticipated increase over 1.2450.
Pullback movements, however, could first target 1.2400 and the 1.2340 support level before emphasizing the 1.2320 level of the 200-Hour Moving Average (HMA).
But, before the bears arrive, the 1.2300 round figure and the bottom of the indicated channel, presently at 1.2290, may serve as the purchasers of the GBP/USD pair’s last line of defense.
NZD/USD is currently aiming for 0.6365 shortly – UOB
Markets Strategist Quek Ser Leang of UOB Group and Senior FX Strategist Peter Chia predict that the NZD/USD pair may soon move into the area of 0.6365.
“We suggested yesterday that NZD might touch 0.6210,” the 24-hour outlook reads. The primary support at 0.6180 is unlikely to be threatened, we continued. NZD fell to 0.6205 in Asian trading but quickly reversed course and rocketed to 0.6300. The momentum’s rapid development will probably cause the NZD to strengthen even more. Yet due to overbought circumstances, it seems doubtful that the significant barrier at 0.6355 will be reached today (there is another resistance at 0.6320). A violation of 0.6255 (minor support is at 0.6275) would signal a weakening of the upward pressure on the downside.
Upcoming 1-3 weeks: “We maintained the opinion that the New Zealand dollar “is not ready to climb higher in a sustained way” yesterday (April 03, spot at 0.6230), and we anticipated it to trade between 0.6170 and 0.6295. We were not prepared for the sudden increase to 0.6300. NZD is anticipated to rise to 0.6365 as upward momentum resumes. Overall, the only sign that the momentum has peaked would be a breach of the “strong support” level, now around 0.6230.
AUD/USD continues post-RBA loss to 0.6750 on higher USD, US Factory Orders, and Lowe’s speech
As it extends losses caused by the Reserve Bank of Australia (RBA) in the early hours of Tuesday’s European session, the AUD/USD accepts offers to repeat intraday lows around 0.6755. The Australian pair does this by defending the central bank’s dovish strategy and drawing insights from the pessimistic mood and a corrective rebound of the US Dollar.
The RBA said its present monetary policy would remain in place after 10 straight rate hikes, with the benchmark rate at 3.60 percent at the latest. The central bank of Australia then explains the recent decline in Australian inflation and retail sales figures, stating, “Board thinks that some additional tightening of monetary policy may probably be warranted.”
On the other hand, the US Dollar Index (DXY) shows modest improvements at 102.20 after plunging to its lowest level since March 22 on Monday. The slowdown in the last decline in the benchmark US Treasury bond rates may be responsible for the DXY’s most recent recovery. Having printed a four-day and a two-day downtrend, respectively, the US 10-year and two-year Treasury note rates nurse their wounds at approximately 3.42% and 3.98%.
USD/CHF Price Analysis: Rebounds from 0.9110 provide convergence support.
To renew its intraday peak at 0.9140 and consolidate its week-start losses at a multi-day low, USD/CHF picks up bids. As a result, the Swiss Franc (CHF) can retrace its short-term decline from basic support levels before Tuesday’s European session.
The 0.9110 level is highlighted as the essential downside support. The USD/CHF pair recently rebounded by a one-week ascending trend line joining an upward-sloping support line from early February.
But, it’s important to remember that when the USD/CHF price approaches a three-week declining resistance line at 0.9180, the MACD and RSI (14) find it challenging to persuade bulls.
The 100-SMA level around 0.9195 and the round numbers at 0.9200 are additional crucial upward obstacles in the short term.
The 200-SMA resistance level of 0.9266 might serve as bears’ final line of defense if USD/CHF prices continue to trade higher over 0.9200.
For the USD/CHF bearish, the trend above the line confluence at 0.9110 seems challenging to crack.
The pair sellers may have difficulties approaching the lows from March and February, which were respectively established at 0.9070 and 0.9060.
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