The market holds its positions | 18 March 2014

Euro

The Eurozone will publish the final consumer price index data for February. There are no prerequisites for the revision indicator upward, therefore, the release of data on the level of consensus- forecast is expected. Everyone expects full-scale geopolitical crisis between Russia and Ukraine which can put pressure on a risky assets.

The support levels: 1.3910-1.3860, and the resistance levels: 1.3914-1.3980.

MACD is turned up, indicating on the current uptrend, if the indicator is developed downward, it can start a downward movement turn.

Trading Recommendations

Generally, the situation remains positive. Nevertheless, fundamentally, it is difficult to find a good reason for buying the single currency. That’s why it’s not the fact that the pair will move above 1.3937-1.3966.

The loss of the support in the 1.3845-1.3833 will lead to a fall down to 1.3740.

Pound

The UK investors will not please traders with interesting reports. In the light of that, the geopolitical tensions due to the Russian - Ukrainian conflict will hold the first place. The investors can leave the risky assets, which will adversely affect the GBP/USD pair.

The support levels: 1.6582-1.6515, and the resistance levels: 1.6660-1.6680.

MACD is pointed up.

Trading Recommendations

The pound keeps a demand, but due to the inability to consolidate above 1.6700, the risks of falling below 1.6600, followed by 1.6568 breakdown, grow up. In this case, we should expect the movement to the 65th figure; its loss will increase the pressure on the pair, and the next target will be the bears support at 1.6303.

Yen

Japan will publish several interesting macroeconomic releases.

The sales in the stock markets of Japan perform as a negative factor for the quotations USD / JPY growth, and today we can expect the "bearish" mood at the world's leading stock markets. The positive release on the U.S. industrial production may induce "bears" to take profits on short positions, whereby it’s possible to observe a technical rebound.

The support levels: 101.20-100.60, and the resistance levels: 101.90-102.16.

MACD is turned up, indicating the current uptrend.

Trading Recommendations

The “bulls” couldn’t keep the positive power on the dollar/yen pair.

The dollar’s inability to gain a foothold above the 103rd figure, where there’s the 100-days moving average, following the fall down to 101.20 significantly impairs its prospects, increasing the risk of the current 100.75 breakdown. In this case we should expect the 100.00 psychological level testing. The 103-rd figure returning will improve the “bulls” sentiment at the markt.