Forex trading plan for March 27
US dollar was under pressure on Thursday as oil price went up. The decline in American unemployment claims helped the greenback to stabilize. On Friday the spotlight will be on the US final Q4 GDP (12:30 GMT). According to the consensus forecast, the reading will raised from the second reading of 2.2% to 2.4%. Later there will be speech of the Fed’s Chair Janet Yellen at 19:45 GMT.
EUR/USD is trying to push above 1.1000. The US dollar’s weakness has provoked a covering of the massive bearish positions. 200-period MA at 1.1057 is providing resistance at H4 chart. Further obstacle for the bulls will be at 1.1100.
USD/JPY is trying to hang at the 100-day MA at 118.70. The pair declined as demand for Japanese yen as a safe haven increased after the news about Saudi Arabia’s military operation against rebels in Yemen. Japan will release inflation & retail sales data during Friday’s Asian session. The Bank of Japan has adopted a wait-and-see stance, so unless we see some surprising changes, the releases won’t have big impact on the yen.
GBP/USD approached the psychological 1.5000 mark on better-than-expected retail sales figures, but traders don’t think that the Bank of England will change its policy, so resistance held. In this sense, comments of the central bank’s officials on Friday, including Mark Carney, may be important. As long as 1.5000 holds, the picture will be bearish with the pair leaning on support at 1.4700.