Market Review 10 April 2020

by Constantinos Loizou

  • In today’s Economic Calendar we can expect some volatility in the USD
  • At 12:30 (GMT), the Department of Labor Statistics of the USA will release their Consumer Price Index (CPI)
  • Those figures measure the average basket price of consumer goods and services
  • The result is forecasted to decrease to 0.1% considering that last month was 0.2%
  • At 16:30 (GMT), the President and Chief Executive Officer of the Federal Reserve Bank of Cleveland will have a speech for the monetary policy
  • At 18:00 (GMT), the Financial Management Service of the USA (FMS) will announce their Monthly Budget Sentiment
  • Those figures summarize the financial activities of Federal Entities, Disbursing Officers, and Federal Reserve banks
  • The result is forecasted to Increase to -150B considering that last month was -235B

 

On the Charts

 

  • The USD/CAD price is at 1.3959
  • The pair is ready to complete a Failure Swing Reversal Formation since it created a lower Top at 1.43, considering that the previous Top was at 1.4668
  • The price is testing the previous support level (blue dashed line)
  • Price is below the 20 days Moving Average
  • The RSI is slightly below 50 after forming a Failure Swing in its Extreme levels (above 70), and the MACD is approaching the zero line
  • If we notice a break below the blue dashed line, there is a possibility to see the price going lower to 1.365, the 161.8% Fibonacci Extension level (From 1.3959 to 1.43) or lower to 1.346, a level which consists an inside support and the 200% Extension Level (From 1.3959 to 1.43)
  • Otherwise we may see the price moving higher to 1.43, the previous resistance level