Market Review 31 March 2020

by Constantinos Loizou

  • In today’s Economic Calendar we can expect some volatility in the EUR, CAD and USD
  • At 07:55 (GMT), the Statistics Office of Germany will announce their Unemployment Rate figures
  • That figure measures in percentage the number of the unemployed people throughout the country
  • The result is forecasted to Increase to 5.1% considering that last month’s result was at 5.0%
  • At 09:00 (GMT), the Eurostat will announce the Consumer Price Index of the Eurozone
  • That number measures the changes in the price level of a weighted average market basket of consumer goods and services
  • The result is forecasted to remain unchanged, as the previous month, at 1.2%
  • At 12:30 (GMT), the Statistics office of Canada, will announce their Gross Domestic Product (GDP)
  • That number measures the total value of goods and services produced by the country
  • The result is forecasted to decrease to 0.1%, considering the last month, at 0.3%
  • At 14:00 (GMT) the Conference Board of the USA will release their Consumer Confidence

 

On the charts

 

  • The USD/CAD pair had formed a failure swing formation (Major Reversal Formation), since it created a lower top after the price peaked at 1.4668
  • The price now is at 1.4170 and it reacted the neckline of our formation (Light Blue line)
  • The price is below the 50 days Moving Average
  • Momentum has lost its bearish attitude due to the last upward movement. Rate of change (13 periods) is slightly above 0 and the MACD Is slightly below 0
  • If the price remains below the neckline of our formation, then there is a possibility to see the price reducing to 1.3920, the previous support or lower level was at 1.3780, a point which consists the target of our formation and a previous support