Currency snapshot (major pairs)

Dollar index trading at 90.74 (+0.10%)

Strength meter (today so far) – Euro -0.09%, Franc -0.31%, Yen -0.31%, GBP +0.08%

Strength meter (since last week) – Euro -0.90%, Franc -1.29%, Yen -0.13%, GBP -1.39%

EUR/USD –

Trading at 1.218

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 –

• Eurozone manufacturing PMI rose to 58.6 in February.
• Eurozone unemployment rate at 8.6 percent in January.

Commentary –

• The euro is down this week as the dollar recovers over rate hike bets.  

GBP/USD –

Trading at 1.376

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 –

• Net lending to individuals at £4.7 billion in January.
• Mortgage approvals were 67,478 in January.
• M4 money supply up 4.3 percent y/y.
• Manufacturing PMI declined to 55.2 in February.

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 –

• Nikkei manufacturing PMI rose to 54.1 in February.
• Inflation reports will be released at 23:30 GMT, along with unemployment report and household spending report.

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 0.947

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 –

• GDP grew by 1.9 percent y/y in the fourth quarter.
• Real retail sales down 1.4 percent y/y in January.
• SVME PMI rose to 65.5 in February.

Commentary –

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

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