London Forex Report: Eyes On NFP’s

London Forex Report: Eyes On NFP’s

London Forex Report: USD Market sentiments turned a little cautious ahead of key nonfarm job report and a two-day sumnnit between US President Trump and President Xi Jinping of China. While markets do not expect anything concrete out of this meeting, comments by the two leaders could add noises to USChina diplomatic and trade relationship which could also have geopolitical implications to the rest of the world.f initial jobless claims continued to point to further recovery in the US labour market, spurring optimism todayt’s nonfarm payroll will paint a similar picture.

EUR Eurozone’s Markit services PMI climbed to a seventy-month high of 56.0 in March, ticking up from 55.5 in February. Ireland, France and Germany registered quicker growth last month as services providers accumulated the sharpest backlog of work for 70 months.

GBP BOE Vlieghe expressed concern earlier this week that the UK consumer slowdown would intensify, adding a premature rate hike would be worse than a late one.

JPY Japan’s consumer confidence index surged to 43.9 in March, climbing to the highest level since September 2013 after a reading of 43.2 in February. The index was largely in line with improvement in outlook of the broad economy.

EURUSD
Outlook: Short Term (1-3 Days): Bearish – Medium Term (1-3 Weeks): Bearish

Technical: 1-3 Day View – 1-3 Day View – The breach of 1.07 support resets a downside bias with 1.0570 symmetry swing support the immediate downside objective, near term resistance is sited at 1.0738, over 1.0860 opens 1.0969 equidistant swing objective.

1-3 Week View – While 1.10 contains corrective attempts higher focus remains on a retest of 1.03 ahead of 1.0118 extension objective form 2015/17 consolidation. Only over 1.14 sets upside focus on 1.1876
Retail Sentiment: Bullish
Trading Take-away: Short

GBPUSD
Outlook: Short Term (1-3 Days): Neutral – Medium Term (1-3 Weeks): Bearish

Technical: 1-3 Day View – 1.2570 upside objective achieved potential for profit taking pullback to test support sited at 1.24 as this area supports expect a test of triangle resistance sited at 1.2640 only below 1.2370 concerns near term bullish bias.

1-3 Week View – While below 1.2864 bears set sites on 1.10 as the broader downside objective, a weekly closing breach of 1.2660 will set up a move to test the weekly bearish line in the sand
Retail Sentiment: Bearish
Trading Take-away: Long

USDJPY
Outlook: Short Term (1-3 Days): Bearish – Medium Term (1-3 Weeks): Bearish

Technical: 1-3 Day View 111.75 range support breached the daily close below here suggests downside range break and opens 108.43 equidistant swing objective to the downside, near term resistance is sited at 112. A daily close over 112 stems near term selling pressure.

1-3 Week View – as 110 weekly symmetry swing support survives on a weekly closing basis bulls will look for a grind higher to retest 115, a close below 108 which represents an equidistant swing from the cycle, negates the broader bullish theme.
Retail Sentiment: Bullish
Trading Take-away: Short

EURJPY
Outlook: Short Term (1-3 Days): Bearish – Medium Term (1-3 Weeks): Bearish

Technical: 1-3 Day View -Pivotal symmetry swing support sited at 117.69 under pressure a failure here open trend line support at 116.57. Only over 120.50 arrests near term selling pressure.

1-3 Week View – As symmetry swing support sited at 117.69 survives on a closing basis bulls will continue to target weekly symmetry swing resistance sited at 124.42, a weekly close above here would set a broader base for further upside.
Retail Sentiment: Bullish
Trading Take-away: Short

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