Market review 20 March 2020

by Constantinos Loizou

  • In today’s Economic Calendar we can expect some volatility in the CAD and the USD
  • At 12:30 (GMT), the Statistics office of Canada will announce their Retail Sales ex Autos
  • That number measures all goods sold by retailers, apart from the automobile sector
  • The result is forecasted for an increase to 0.3%, considering that last month was 0%
  • At 14:00 (GMT), USA National Association of Realtors will announce their Existing Home Sales
  • That number is an estimated value of housing market conditions
  • The result is forecasted for an increase to 5.5M, considering that last month was 5.46M
  • The ECB (European Central Bank) on Wednesday evening announced a 750 billion euro asset purchase program in an effort to help mitigate the impact of the coronavirus outbreak
  • Dow Jones 30 Index yesterday broke below $20,000, now the price is at 20,450

On the Charts

  • Price of EUR/USD is now at 1.075
  • The pair after a sharp downward movement the last days, had broken below the previous support at 1.078
  • Now is retesting that level
  • Momentum is bearish, since Rate of Change (9 Periods) and MACD are both below zero
  • If we observe the price remaining below the 1.078 (blue dashed line), then there is a possibility to see it going lower at a previous support level, at 1.056

Source : FXGM Investment Research Department / Bloomberg