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Old 09-04-2019, 06:47
Orbex Orbex is offline
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Join Date: Jul 2018
Location: Cyprus
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Default Re: Intraday Technical Analysis April 2019

The monthly factory orders report showed a 0.5% decline on the month matching estimates. The declines in February marks a fourth consecutive fall in factory orders. As a result, the USD was trading weaker on the day.

The monthly durable goods orders report was confirmed to show a 1.6% decline on the headline as per the initial estimates. The greenback reversed the gains from last Friday. The US Treasury will also be auctioning the 3, 10 and 30-year bonds this week.

Sentix Investor Confidence Improves
The common currency rose 0.3% on Monday boosted by weaker demand for the greenback. Economic reports from the eurozone saw the Sentix investor confidence rising to -0.3 for April. This was better than the median estimates which forecast a decline to -1.7 and up from -2.2 from the month before.

Can EURUSD Maintain the Bullish Momentum?
After price consolidated briefly, we saw a breakout from the short term resistance level near 1.1246. The euro posted intraday gains to reach highs of 1.1273 before modestly pulling back. In the near term, we expect the pullback to stall near the resistance level of 1.1246. A rebound off this level could indicate the upside momentum to continue with price targeting 1.1275.

Oil Prices Lift Loonie Higher
Oil prices surged on Monday amid a host of geopolitical developments. The fighting in Libya escalated which threatens the oil supply. This comes on top of the OPEC oil cuts and the US sanctions on Iran and Venezuela. In addition, the Washington administration designated the Iranian revolutionary guard as a terrorist organization, putting more pressure on the supply side. This impacted oil prices as NYMEX crude oil rose 2.1% and sent oil currencies higher.

Will USDCAD Decline?
After previously rallying to the highs above 1.3416, the USDCAD established resistance after failing to breakout higher. Short term support is now at 1.3136 which will be the downside target for the moment. A break down below this minor support level will see the USDCAD declining further toward the support area of 1.2858.

Gold Gains on Fed and Trump Skirmishes
Gold prices advanced on Monday, rising 0.61% on the day. The gains came amid an intraday surge in prices. Christopher Neely, an economist with the St. Louis Fed said that quantitative easing will not affect the US economy in a noticeable way. He stated this after Trump said that the economy would be stronger if the Fed had not raised interest rates.

Can XAUUSD Maintain the Gains?
After briefly testing the resistance level at 1301.50, gold prices retreated from the two-week high. We expect the bullish momentum to continue in the near term as XAUUSD could advance to 1307.50. This marks a retest of the support level which will now see a test of resistance. In the medium term, gold prices will continue to consolidate within the established range.

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