Trading plan for 20/04/2017:
The EUR/USD pair has broken out above the 1.0720 resistance and the USD/JPY exchange rate is close to 109.00. The biggest movement in the Asian session is NZD/USD, which rises after higher-than-expected inflation reading for Q1. After yesterday's decline, today's WTI oil barrel rate is barely rebounding and is over $50.50. The Gold ounce is priced at nearly $1,280. All major Asian indexes are growing moderately, but the scale of their increases does not exceed 0.5 percent.
On Thursday 20th of April, the event calendar is busy during the US trading session, so global investors will keep an eye on Philly Fed Manufacturing Index and Unemployment Claims data from the US, the speech from FOMC Member Jerome Powell and Treasury Secretary Steven Mnuchin. Moreover, there is a scheduled speech from BOE Governor Mark Carney from Canada worth to keep an eye on as well.
US Dollar Index analysis for 20/04/2017:
The Philly Fed Manufacturing Index and Unemployment Claims data are both scheduled for release at 12:30 pm GMT. The Philly Fed Manufacturing Index is expected to deteriorate from 32.8 points to 25.6 points, so any number bigger than 33 points will be a huge surprise, pushing the US Dollar up. The situation on the US job market is still good, so the Unemployment Claims are expected to increase just slightly from 234k to 241k. Any figure lower than 230k will be again bullish for the US Dollar and might cause the US Dollar to rally.
Let's now take a look at the US Dollar technical picture at the Daily time frame. The price is very close to the long-term golden trend line support and the technical support at the levels of 99.23 and 98.85. Moreover, there is 200 daily moving average around this levels as well, which overall means, the price might reverse from this level and head up towards the next technical resistance at the level of 101.33.
Market snapshot; EUR/USD rally above the technical resistance
The bulls have managed to breakout above the technical resistance at the level of 1.0720 in an impulsive fashion. The price was capped at 61%Fibo at the level of 1.0776 and now it is slowly consolidating the gains. In a case of worse than expected data from the US, the price might rally towards the next technical resistance at the level of 1.0798.
Market snapshot: GBP/USD is ready to breakout higher
The price of GBP/USD bounced from the technical support at the level of 1.2772 and now is waiting for Governor Mark Carney speech at 03:30 pm GMT. Any hawkish comments regarding BoE monetary policy or positive comments regarding the future Brexit deals will trigger another rally.
