Currency snapshot (major pairs)

Dollar index trading at 90.46 (+0.10%)

Strength meter (today so far) – Euro -0.09%, Franc -0.40%, Yen +0.37%, GBP -0.54%

Strength meter (since last week) – Euro -0.60%, Franc -0.89%, Yen -0.18%, GBP -0.91%

EUR/USD –

Trading at 1.222

Trend meter –

• Long term – Buy, Medium term – Buy, Short term – Buy

Support          

• Long term – 1.18, Medium term – 1.2, Short term – 1.22

Resistance –

• Long term – 1.25, Medium term – 1.25, Short term – 1.25

Economic release today –

• Consumer price inflation at 1.2 percent y/y in February. Core inflation up 1 percent y/y.

Commentary –

• The euro is down this week as the dollar recovers.  

GBP/USD –

Trading at 1.383

Trend meter –

• Long term – Sell, Medium term – Buy, Short term – Buy

Support –

• Long term – 1.35, Medium term – 1.385, Short term – 1.385

Resistance –

• Long term – 1.50 Medium term – 1.485, Short term – 1.435

Economic release today –

• GFK consumer confidence came at -10 in February.
• BRC shop price index down 0.8 percent y/y.

Commentary –

• The pound is the worst performer of the week. Gave up earlier gains on hawkish BoE commentary due to domestic political trouble.  Active call-  short term sell targeting 1.375

USD/JPY –           

Trading at 107

Trend meter -

• Long term – Sell, Medium term – sell, Short term – Range/Sell

Support –

• Long term – 101, Medium term – 104.2, Short term – 106

Resistance –

• Long term – 112, Medium term – 110, Short term – 109

Economic release today –

• Housing starts down 13.2 percent y/y in January.
• Vehicle production down 3.8 percent y/y.

Commentary –

• The yen is the best performer of the week but down against the dollar. Active call – Buy yen targeting 101

USD/CHF –

Trading at 0.943

Trend meter –

• Long term – Buy, Medium term – Range/sell, Short term – Range/Sell

Support –

• Long term – 0.90, Medium term – 0.92, Short term – 0.92

Resistance –

• Long term – 1.03, Medium term – 0.98, Short term – 0.95

Economic release today –

• Zew survey expectations declined to 25.8 in February.  

Commentary –

• Franc is a much worse performer than the euro this week so far.

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