FxWirePro: Forex Daily Update

The US dollar index gained momentum after the hawkish Fed chairman Powell's speech. It hit a high of 106.517 yesterday and is currently trading around 106.285.

Fed Chairman Powell said that conditions needed to cut rates likely to take longer to appear.

According to the CME Fed watch tool, the probability of a no-rate cut in  June increased to 84.8% from  42.60% a week ago.

Major resistance- 106.50/107

Major support- 105.35/104.45

EURUSD-

EURUSD holds below 1.06300 on board-based  US dollar buying. Markets eye ECB president Lagarde's speech today for further movement. Any dovish comments will push the pair down to 1.0600. German ZEW economic sentiment surged to 42.90  in Apr, compared to a forecast of 35.

Major resistance-1.0660,1.0720

Major support- 1.0600,1.0500

Yen-

The pair trades higher as demand for safe-haven assets increases. Any break above 155 confirms minor bullishness.

Major Resistance- 155,156

Major support- 153.70,152.68

Canadian Dollar

The pair hit a multi-month high despite upbeat Canadian CPI data. It rose by 2.9% YoY in Mar from 2.8% in Feb ahead of Canada's CPI data.   Any break above 1.3865 confirms further bullishness.

Resistance- 1.3865,1.3950

Major support- 1.3760,1.3700