FxWirePro: Forex Daily Update

The US dollar index showed a minor pullback after an upbeat US CPI. It rose 0.40% m/m in Feb, compared to a forecast of 0.30%. The consumer price index came in at 3.2% y/y, slightly above the forecast of 3.1%.  It hit a high of 10 and is currently trading around 102.824.

According to the CME Fed watch tool, the probability of a no-rate cut in  Mar decreased to 99% from 96% a week ago.

 The US 10-year yields gained more than 3% after upbeat US CPI.  The US 10 and 2-year spread narrowed to -44% from -53%.

Major resistance- 104.25/105

Major support- 102.30/101.60.

EURUSD-

EURUSD trades flat, after a nice pullback. German annualized CPI declined to 2.5% y/y last month, down from 2.9% in Jan. European economic data to watch  

Euro Industrial production m/m

Major resistance-1.09500,1.100

Major support- 1.0850,1.0760

Yen-

The yen gained momentum due to the wage hike outcome.  Any break above 148.20 confirms minor bullishness.

Major Resistance- 150,151

Major support- 146.40,145

Canadian Dollar

The Canadian dollar showed a minor pullback after US CPI data. Strong crude oil also supports the Canadian dollar at lower levels.

Resistance- 1.3550,1.3600

Major support- 1.3435,1.3380