In the Forex Weekly Forecasts segment, we provide critical news and information which helps you to seize the opportunity in the financial market.
EUR/USD – Euro US Dollar
The Euro rose by some 0.80% against the US dollar on Monday morning in Asia amid the absence of any high-tier economic data releases. According to financial analysts, market participants are waiting for the important policy meeting of the ECB amid the expectations of an interest rate hike for the first time in 12 years.
The momentum indicators are flashing a bullish signal on an hourly chart, with the relative strength index indicator near 70, suggesting more room to the upside. The EUR/USD seems to have formed a near-term base and the bulls will now aim for the 1.0200 level.
GBP/USD – British Pound US Dollar
The British pound is soaring after starting the week on a bullish note today. The GBP/USD is testing the major psychological resistance level at the 1.2000 level mark. There was a sense of confusion in the market till Thursday and even the dollar index was rising but ultimately the GBP/USD closed higher on Friday after the retreat in the dollar index.
The rebound in the broad currency market provoked a lot of buying interest in the British pound as it is up by some 0.90% against the US dollar in the early European session. The market is also showing optimism ahead of the selection of a new Prime Minister.
AUD/USD – Australian Dollar US Dollar
The Australian dollar had another awful week due to the renewed COVID restrictions in China, as it fell 0.86% against the dollar. However, things have improved in the last two trading sessions amid the positive market sentiment. According to experts, the corrective pullback in U.S. dollars has benefited the risk-sensitive Australian dollar, which is temporary.
Looking at the daily chart, we can see a rebound in AUD/USD as the price is approaching the 21-day exponential moving average. However, the Australian dollar is not yet on the offensive as bulls are waiting for a major pullback in the dollar index.