April 21: Asian session
USD/JPY rose to 102.70. Yen fell after a report showed Japan’s trade deficit widened more than forecast last month.
EUR/USD remains in the $1.3810/20 area. US dollar is feeling rather well versus yen and euro as the leading US economic indicators that may back speculation the Federal Reserve will remove stimulus this year. Tense situation in Ukraine keeps affecting the market. In Europe banks are closed due to the Easter holidays. GBP/USD is in the $1.6800 zone.
Aussie and kiwi keep on correcting lower after peaking on April 10. AUD/USD extends the bearish retracement, consolidating in the $0.9340/20 range. NZD/USD swings in the $0.8600/8560 range. The $0.8560 support remains strong for now. The Reserve Bank of New Zealand will hold a policy meeting on Thursday – interest rate is expected to be hiked by 0.25% to 3.00%.