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Daily Markets
- Most Asian currencies kept to a tight range on Monday, while the dollar steadied near two-week highs as focus turned squarely to a swathe of central bank meetings helmed by the Bank of Japan and Federal Reserve. Strong U.S. inflation readings from last week put traders on guard over any hawkish sentiments from the Fed, while positive wage data and sticky inflation spurred mass speculation over whether the BOJ will end its ultra-loose policies this week. The Japanese yen moved little on Monday after clocking a volatile week on speculation over an end to the BOJ’s negative interest rate and yield curve control policies. The BOJ kicked off its two-day meeting on Monday, with a hotly anticipated decision due on Tuesday. The USDJPY pair had fallen as far as 146 to the dollar, especially after reports showed Japanese labor unions won large wage hikes this year. Recent data also pointed to inflation remaining sticky, with both factors giving the BOJ enough confidence to end its ultra-dovish policies. But analysts still remained split over whether the bank will raise rates in March or April, with general consensus leaning slightly towards an April move. The BOJ is expected to raise rates by 20 basis points to 0.1% from negative 0.1% While any rate hikes bode well for the yen, speculation over the timing of the hike saw the USDJPY pair mark volatile moves in recent weeks. The currency pair hovered around 149 on Monday. The dollar index and dollar index futures moved little in Asian trade on Monday, steadying near two-week highs with focus squarely on the conclusion of a two-day Fed meeting on Wednesday. While the Fed is widely expected to keep rates unchanged, any signals on its plans for interest rate cuts in 2024 will be closely watched. But the central bank may also strike a more hawkish chord than markets are hoping for, especially as recent data showed stickier-than-expected inflation in February. The prospect of higher-for-longer U.S. rates bodes poorly for Asian markets. This caution kept most regional currencies moving little on Monday, with a few more regional central bank decisions also on tap later in the week.
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Intraday RESISTANCE LEVELS |
20th March 2024 |
R1 |
R2 |
R3 |
GOLD-XAU |
2,160-2,172 |
2,180-2,188 |
2,195-2,200 |
Silver-XAG |
25.45-25.90 |
26.50 |
26.90-27.50 |
Crude Oil |
80.90 |
81.50-82.00 |
82.50-83.35 |
EURO/USD |
1.0900-1.0950 |
1.1020-1.1060 |
1.1100 |
GBP/USD |
1.2760-1.2800-1.2845 |
1.2890-1.2960 |
1.3000-1.3070 |
USD/JPY |
149.30 |
149.90-150.60 |
151.30-151.90 |
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Intraday SUPPORTS LEVELS |
20th March 2024 |
S1 |
S2 |
S3 |
GOLD-XAU |
2,140-2,120 |
2,100-2,088 |
2,074-2,066 |
Silver-XAG |
24.90-24.60 |
23.90-23.50-22.90 |
22.20-21.90 |
Crude Oil |
79.90-79.00 |
78.00-77.30 |
76.50-75.75 |
EURO/USD |
1.0805 |
1.0765-1.0690 |
1.0650-1.0590 |
GBP/USD |
1.2700 |
1.2670-1.2610 |
1.2540-1.2500 |
USD/JPY |
148.10-147.40-147.10 |
146.60-145.80 |
145.00 144.20 |
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Intra-Day Strategy (20th March 2024) |
GOLD-XAU |
Sell on Strength |
Silver-XAG |
Buy on Dips |
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Crude Oil |
Neutral to Sell |
EUR/USD |
Neutral to Sell |
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GBP/USD |
Neutral to Buy |
USD/JPY |
Neutral to Sell |
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Gold – XAU
Gold on Friday made its intraday high of US$2172.60/oz and low of $2155.93/oz. Gold is down by 0.284% at US$2155.93/oz.
Technicals in Focus:
On the daily charts, gold trades higher than 20DMA (1953). If it drops below this level, it could lead to 1,927. The MACD is currently below the zero line but the histograms are showing an increasing trend, indicating that there may be upward movement in the coming sessions. The RSI is currently at 45.31, which is in the neutral region, suggesting there may be more selling pressure before it rebounds. The Stochastic Oscillator is also in the oversold territory but has given a positive crossover, indicating a bullish stance for intraday trades.
Trading Strategy: Sell on Strength
Sell in between 2160-2220 keeping stop loss closing above 2220, targeting 2,140 and 2,129-2,120-2100.
Buy in between 2140-2066 with risk below 2066 targeting 2160-2172-2180 and 2190-2200-2009.
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Intraday Support Levels |
S1 |
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2,140-2,120 |
S2 |
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2,100-2,088 |
S3 |
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2,074-2,066 |
Intraday Resistance Levels |
R1 |
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2,160-2,172 |
R2 |
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2,180-2,188 |
R3 |
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2,195-2,200 |
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Technical Indicators
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Name |
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Value |
Action |
14DRSI |
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76.418
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Buy |
20-DMA |
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2034.79 |
Buy |
50-DMA |
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2036.52
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Buy |
100-DMA |
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2015 |
Buy |
200-DMA |
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1958.79 |
Buy |
STOCH(5,3) |
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62.394 |
Buy |
MACD(12,26,9) |
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15.907 |
Buy |
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Silver - XAG
Silver on Friday made its intraday high of US$25.42/oz and low of US$24.77/oz settle up by 1.536% at US$25.18/oz.
Technicals in Focus:
On daily charts, silver is sustaining below 200DMA (22.91), breakage above will lead to 23.51. MACD is below the zero line and histograms are decreasing trend, bringing a bearish stance in the upcoming sessions. RSI is approaching the oversold region, indicating a sell signal for now. The Stochastic Oscillator is in the oversold region and gives a positive crossover to show an upside move for the intraday trade.
Trading Strategy: Buy on Dips
Buy in between 23.90-19.30, targeting 23.90-24.60 and 25.00-25.90 with stop loss should be placed on the breakage below 19.00.
Sell in between 24.60-27.50 with a stop loss above 27.50 targeting 23.90- 23.20-22.40 and 21.90-21.50-20.90.
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Intraday Support Levels |
S1 |
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24.90-24.60 |
S2 |
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23.90-23.50-22.90 |
S3 |
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22.20-21.90 |
Intraday Resistance Levels |
R1 |
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25.45-25.90 |
R2 |
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26.50 |
R3 |
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26.90-27.50 |
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TECHNICAL INDICATORS |
Name |
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Value |
Action |
14DRSI |
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68.514 |
Buy |
20-DMA |
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23.49 |
Buy |
50-DMA |
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23.04 |
Buy |
100-DMA |
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23.32 |
Buy |
200-DMA |
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22.29 |
Buy |
STOCH(5,3) |
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76.841 |
Buy |
MACD(12,26,9) |
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0.502 |
Buy |
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Oil - WTI
Crude Oil on Friday made an intra‐day high of US$80.86/bbl, an intraday low of US$79.98/bbl, and settled up by 0.129% to close at US80.54/bbl.
Technicals in Focus:
On daily charts, oil is sustaining above its 100DMA i.e. 75.37, a support level, and breakage above will call for 77.48. MACD is above the zero line and histograms are in increasing mode will bring a bullish stance in the upcoming sessions. The Stochastic Oscillator is in the overbought region, giving a negative crossover to confirm a bearish stance; while the RSI is in the neutral region, more upside can be expected to reach the overbought region, which is highly probable.
Trading Strategy: Neutral to Sell
Sell in between 79.90-83.30 with stop loss at 83.30; targeting 78.00-77.30-76.50 and 75.75-74.40-73.70.
Buy above 79.00-71.00 with risk daily closing below 71.00; targeting 79.90-80.80-81.50 and 82.00-82.50-83.35.
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Intraday Support Levels |
S1 |
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79.90-79.00 |
S2 |
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78.00-77.30 |
S3 |
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76.50-75.75 |
Intraday Resistance Levels |
R1 |
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80.90 |
R2 |
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81.50-82.00 |
R3 |
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82.50-83.35 |
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TECHNICAL INDICATORS |
Name |
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Value |
Action |
14DRSI |
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63.952 |
Sell |
20-DMA |
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78.40 |
Buy |
50-DMA |
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76.31 |
Buy |
100-DMA |
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75.73 |
Buy |
200-DMA |
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78.13 |
Buy |
STOCH(5,3) |
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90.860 |
Buy |
MACD(12,26,9) |
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1.0186 |
Buy |
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EUR/USD
EUR/USD on Friday made an intraday low of US$1.0872/EUR, a high of US$1.0899/EUR, and settled the day up by 0.0293% to close at US$1.0888/EUR.
Technicals in Focus:
On daily charts, prices are sustaining above 100DMA (1.0800), which becomes immediate support, a break below will target 1.0717. MACD is above the zero line and histograms are increasing mode, bringing a bullish view. Stochastic is in oversold territory, giving negative crossovers to the bullish outlook for intraday. 14D RSI is currently in a neutral region and giving no directions to consider right now.
Trading Strategy: Neutral to Sell
Sell below 1.0900-1.1100, targeting 1.0805-1.0775 and 1.0770-1.0640 with stop-loss at daily closing above 1.1100.
Buy above 1.0805-1.0450 with risk below 1.0400 targeting 1.0890 and 1.1020-1.1105-1.1145.
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Intraday Support Levels |
S1 |
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1.0805 |
S2 |
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1.0765-1.0690 |
S3 |
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1.0650-1.0590 |
Intraday Resistance Levels |
R1 |
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1.0900-1.0950 |
R2 |
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1.1020-1.1060 |
R3 |
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1.1100 |
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TECHNICAL INDICATORS |
Name |
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Value |
Action |
14DRSI |
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53.842 |
Buy |
20-DMA |
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1.0866 |
Sell |
50-DMA |
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1.0850 |
Buy |
100-DMA |
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1.0851 |
Buy |
200-DMA |
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1.0824 |
Buy |
STOCH(5,3) |
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77.847 |
Sell |
MACD(12,26,9) |
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-0.0025 |
Buy |
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GBP/USD
GBP/USD on Friday made an intra‐day low of US$1.2724/GBP, a high of US$1.2757/GBP, and settled the day down by 0.138% to close at US$1.2735/GBP.
Technicals in Focus:
On daily charts, prices are sustaining below 50DMA (1.2674) is becoming a resistance level. 14-D RSI is currently in a neutral region and direction is difficult to predict on an RSI basis. The Stochastic Oscillator is in oversold territory and gives a positive crossover to confirm a bullish stance. MACD is above the zero line but histograms are increasing leading to movement.
Trading Strategy: Neutral to Buy
Based on the charts and explanations above; buy in between 1.2760-1.2050 with a target of 1.2670-1.2730 and 1.2790-1.2850-1.2890 with a stop loss closing below 1.2050.
Sell in between 1.2800-1.3120 with targets at 1.2760-1.2690 and 1.2630-1.2540-1.2490 with a stop loss of 1.2950.
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Intraday Support Levels |
S1 |
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1.2700 |
S2 |
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1.2670-1.2610 |
S3 |
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1.2540-1.2500 |
Intraday Resistance Levels |
R1 |
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1.2760-1.2800-1.2845 |
R2 |
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1.2890-1.2960 |
R3 |
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1.3000-1.3070 |
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TECHNICAL INDICATORS |
Name |
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Value |
Action |
14DRSI |
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51.949
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Buy |
20-DMA |
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1.2714 |
Buy |
50-DMA |
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1.2685 |
Buy |
100-DMA |
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1.2670 |
Buy |
200-DMA |
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1.2590 |
Buy |
STOCH(5,3) |
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91.997 |
Buy |
MACD(12,26,9) |
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0.0029 |
Sell |
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USD/JPY
USD/JPY on Friday made an intra‐day low of JPY148.02/USD an intraday high of 148.02/USD, and settled the day up by % at JPY147.07/USD.
Technicals in Focus:
In daily charts, JPY is sustaining above 100DMA (137.57), major support on the daily chart. 14-D RSI is currently in the overbought region and chances of downward are expected based on RSI. MACD is above the zero line but histograms are in decreasing mode which might lead to downward movement. The Stochastic Oscillator is in overbought territory and signaling to sell as it has given a negative crossover to confirm a bearish stance.
Trading Strategy: Neutral to Sell
Sell below 149.30-153.50 with risk above 153.90 targeting 147.40 and 146.95-146.50-145.80.
Long positions above 148.10-140.90 with targets of 149.00 and 149.50-150.50-151.30 with stops below 140.00.
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Intraday Support Levels |
S1 |
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148.10-147.40-147.10 |
S2 |
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146.60-145.80 |
S3 |
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145.00 144.20 |
INTRADAY RESISTANCE LEVELS |
R1 |
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149.30 |
R2 |
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149.90-150.60 |
R3 |
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151.30-151.90 |
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TECHNICAL INDICATORS |
Name |
|
Value |
Action |
14DRSI |
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52.071 |
Buy |
20-DMA |
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149.34 |
Sell |
50-DMA |
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148.50 |
Buy |
100-DMA |
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147.66 |
Buy |
200-DMA |
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146.53 |
Buy |
STOCH(9,6) |
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94.407 |
Sell |
MACD(12,26,9) |
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-0.1389 |
Sell |
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© 2024 Daily Forex Guide. All right reserved.
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