Spreads
Spreads
Spreads
Spreads
Spreads
EURUSD (4-Hour Chart)
The EUR/USD pair saw a slight increase on Monday, moving within a tight range and rebounding toward the 1.0780 area. It is currently trading at 1.0782, with a daily gain of 0.22%. The weaker US Dollar across the board and the US government’s additional support to the local financial system helped the market sentiment recover and kept the EUR/USD pair in positive territory. The news related to financial stability also provided some temporary relief to markets on Monday. In the Eurozone, the Business Climate in Germany improved to 93.3 for March, according to the IFO Institute.
From a technical aspect, the RSI indicator is currently at 58, indicating that the bulls are gaining strength as the RSI heads north after bouncing around its midline. As for the Bollinger Bands, the price has witnessed some buying interest and rose towards the moving average, suggesting that some upside movements can be expected. We believe that the market will remain bullish as long as the 1.0748 support line holds, and technical indicators also remain within positive levels.
Resistance: 1.0834, 1.0903
Support: 1.0748, 1.0669
XAUUSD (4-Hour Chart)
On Monday, as easing bank stress lessened Gold’s safe-haven appeal, along with reports of falling demand from India, the XAU/USD pair saw heavy selling pressure and dropped sharply to a daily low below the 1,948 mark during the US trading session. The Gold price is currently trading at 1,958, losing 1.06% daily. The acquisition of Silicon Valley Bank (SVB) by First Citizens Bancshares Inc has limited the damage from SVB’s failure, reducing global banking fears and translating into a rise in US Treasury bond yields. This exerted bearish pressure on the Gold price and lessened demand for safe-haven Gold. This week’s economic calendar highlights await on Friday with Chinese PMIs and the US Personal Consumption Expenditures (PCE) Price Index.
From a technical aspect, the RSI indicator is currently at 48, suggesting the bullish tilt in the short-term technical outlook as the RSI has rebounded sharply towards the mid-line. As for the Bollinger Bands, the price regained some upside traction and rebounded higher, indicating that some upside movements can be expected. We believe that the market will be slightly bullish as long as the $1,934 support line holds. The rising RSI indicator also reflects bull signals.
Resistance: 1980, 2003
Support: 1934, 1914
