Forex: EUR/USD treading water at 1.3000

The bloc currency remains trapped around the psychological level of 1.3000 on Tuesday, extending its congestion pattern since the opening bell in London.

According to I.Spivak, Currency Strategist at DailyFX, “Prices have completed a Bullish Engulfing candlestick pattern, hinting a move higher is ahead. Positive RSI divergence reinforces the case for an upside scenario. Initial trend line resistance is at 1.3061, followed by the 23.6% Fibonacci retracement at 1.3139. A break above the latter level exposes he 38.2% level at 1.3248. Near term support is at 1.2963, the March 6 low”.

At the moment, EUR/USD is down 0.28% at 1.3009 with the next support at 1.2980 (low Mar.11) ahead of 1.2956 (Mar.8) and then 1.2929 (low Dec.11).
On the upside, a breakout of 1.3126 (MA100d) would open the door to 1.3135 (high Mar.8) and then 1.3163 (high Feb.28).

Mar 12, 2013

Forex Flash: US data may be USD/CAD-positive this week – TD Securities

The US will be on focus in the days ahead (retail sales tomorrow, CPI and IP on Friday) as Canada calendar is empty for the rest of the week. “Positive US data is now constructive for the USD, so TD’s forecasts more active than expected consumer activity and slightly higher inflation suggests data developments this week could be USD/CAD-positive", wrote analyst Shaun Osborne and Greg Moore.

Forex Flash: Gasoline prices edge higher in US on winter freeze – Deutsche Bank

The US winter, which was the 20th warmest on record (according to National Oceanic and Atmospheric Administration), is now expected to grow colder later this month – which lifted natural gas prices for the third consecutive day yesterday to a 3-month high. The national average regular unleaded price is around $3.70/gallon at the moment, off the recent highs of $3.79/gallon but still materially higher versus the lows of $3.22/gallon seen halfway through December of last year.