Foreign Currency Exchange Market Recap For First Week In March
Currency Market Recap For First Week In March
It has been a very exciting week for traders globally as market volatility continues for the rest of the week. This was also fueled by the anticipated President Donald Trump's speech which was finally made on Wednesday. The key market movers for this week were; President Donald Trump's speech, Crude Oil Inventories, Canadian Rate Decision and US Unemployment claims. Undoubtedly, the current US government is taking right steps in making the US economy stronger as seen in the more than expected Unemployment claims. What this means is, more Americans are now going back to work at an impressive figure far more encouraging the figures expected by Analysts. Loonie suffered a bit of volatility during the week as the market awaits the decision of the Bank of Canada on the interest rate even though analyst forecast a status-quo.
Weekly Market Recap For Dollar
Dollar missed most of its targets this week as numbers churning out of fundamentals are more in red than expected. The market expected core durable goods orders of 0.5 but the actual figure came out as -0.2. This could suggest consumers' reluctance to shopping as uncertainty looms in the economy. However, it is cheering to see that Dollar was far supported by the news which showed an increase in crude oil inventories also backed with a major game changer for the Dollar which came earlier today has the unemployment claims decreased from 242k to 232k. This should keep Dollar bullish in the market for the rest of the week.
Weekly Market Recap Euro
Will likely remain weak or bearish against the Dollar and GBP as no strong fundamentals this week to give it the needed bullish trend. Traders will keep close eyes on Technical analysis so see if there are any perceived break-outs on either the support or resistant levels. Euro market direction will probably remain uncertain as the market is currently watching how the aftermath of Brexit unfolds.
Weekly Market Recap Pounds
Pounds lost significantly to Dollar this week as market witnessed a strong downward trend. Shorters left no stone unturned as the joined the bearish trend on GBP/USD pair touching a strong support at 1.224 before easing in what currently looks like a retracement. Pounds will like close the week in a bearish trend until fundamentals change this trend come next week.
Weekly Market Recap YenYen has been the poster child of carry-traders as they often borrow yen to buy any currency with a high interest rate. GPB/JPY has been a very popular pair used by traders for many years until the BoE recently reduced the interest rates after many years of status quo. Despite the strong volatility seen in the market this week, Yen maintained slightly stable fluctuations against GPB.
We sincerely hope that Dollar will continue its bullish mission when the market opens next week. The market will likely be quiet on Friday as no major fundamentals to stir the market is insight.
Views expressed here are my own opinions based on market research and not to be taken as financial advice. Currency trading is a risky business as past experience cannot guarantee a future market reaction.