Weekly Market Analysis (Apr 06 – Apr 09): Know How News Impacted Your Currency

April 06

RBA Interest Rate Decision (Australia)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF Depending on the outcome of the news AUDXXX pairs can move bullish or bearish. In Australia, interest rates decisions are taken by the Reserve Bank of Australia's Board. The official interest rate is the cash rate. The cash rate is the rate charged on overnight loans between financial intermediaries, is determined in the money market as a result of the interaction of demand for and supply of overnight funds.

Unemployment Rate (FEB) (Italy)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF There is a higer chance that Italy's Unemployed Rate will increase but, depending on the outcome of the new EURXXX can go either way. In Italy, the unemployment rate measures the number of people actively looking for a job as a percentage of the labour force.

Unemployment Rate (FEB) (Euro Zone)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF As the COVID situation hasn't improved in the Euro area. EURXXX currencies are very likely to follow a bearish trendline. In Euro Area, the unemployment rate measures the number of people actively looking for a job as a percentage of the labour force.

April 07

Markit Services PMI Final (MAR) (AUS)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF Little volatility is expected from AUDXXX and XXXAUD pairs. Look for opportunities. The IHS Markit Services PMI is based on data compiled from monthly replies to questionnaires sent to a representative panel of purchasing executives in over 400 private sector services firms in Australia. The panel is stratified by GDP and company workforce size. The services sector is divided into the following five broad categories: Transport & Storage, Consumer Services, Information & Communication, Finance & Insurance and Real Estate & Business Services. A reading above 50 indicates an expansion of the manufacturing sector compared to the previous month; below 50 represents a contraction; while 50 indicates no change.

Markit Composite PMI Final (MAR) (EURO ZONE)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF EURXXX pairs are anticipated to start moving in any possible direction and high volatility starting from the mentioned time as there are many Euro Courtiers Releasing MRKIT PMI. Markit/ADACI European Services PMI (Purchasing Managers' Index) is based on data collected from a representative panel of around 400 companies based in the European service sector. The index tracks variables such as sales, employment, inventories and prices. A reading above 50 indicates that the services sector is generally expanding; below 50 indicates that it is generally declining.

Balance of Trade (FEB) (Canada)

Pair Projection What is this news about?
USDCAD, EURCAD, CADJPY, NZDCAD, CADCHF, AUDCAD, GBPCAD AAs this is a very high impact news and had affected CAD and USD along with other Exotic Currencies previously, we are anticipating the same move. Between 1970 and 2008 Canada had been recording trade surpluses every year. From 2009 the trade balance shifted to deficit, with an exception of 2011 and 2014. In 2018, the largest trade deficits were recorded with China, Germany and Mexico, while the biggest trade surpluses were recorded with the US, the UK and Norway.

April 08

ECB Monetary Policy Meeting Accounts (EUR ZONE)

Pair Projection What is this news about?
EURUSD, EURJPY, EURGBP, EURCAD, EURAUD, EURNZD, EURCHF Up-surge in EURXXX pairs is anticipated from our end. In the Euro Area, benchmark interest rate is set by the Governing Council of the European Central Bank. The primary objective of the ECB’s monetary policy is to maintain price stability which is to keep inflation below, but close to 2 percent over the medium term. In times of prolonged low inflation and low interest rates, ECB may also adopt non-standard monetary policy measures, such as asset purchase programmes. The official interest rate is the Main refinancing operations rate. .

Fed Chair Powell Speaks (USA)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY Minor volatility can be expected from USDXXX pairs. Due to participate in a panel discussion about the global economy at a virtual International Monetary Fund Seminar. Audience questions expected;

Foreign Bond Investment (Japan)

Pair Projection What is this news about?
USDJPY, EURJPY, CADJPY, AUDJPY, GBPJPY, CHFJPY, NZDJPY Prices of JPY can get volatile, we suggest to trade with caution. The net data shows the difference between acquisition and disposition of long-term debt securities: a plus sign indicates net purchases of foreign securities by Japanese investors; a minus sign indicates net selling and inflows of funds into Japan. It excludes Bank of Japan.

April 09

Employment Change (MAR) (CAD)

Pair Projection What is this news about?
USDCAD, EURCAD, CADJPY, NZDCAD, CADCHF, AUDCAD, GBPCAD Unpredictable movements might occur with CADXXX pairs. Look for opportunities. In Canada, employment change refers to the change in the number of persons who work for pay or profit, or perform unpaid family work. Estimates include both full-time and part-time employment.

Building Permits MoM Final (FEB) (AUD)

Pair Projection What is this news about?
AUDCAD, AUDUSD, EURAUD, GBPAUD, AUDNZD, AUDJPY, AUDCHF We are expecting heavy bullish movement or the reverse wit AUDXXX pairs. In Australia, Building Permits show the monthly change in the number of total dwelling units approved, including building activity carried out on existing buildings.

Wholesale Inventories MoM (FEB) (USD)

Pair Projection What is this news about?
USD/CAD, EUR/USD, USD/CHF, GBP/USD, NZD/USD, AUD/USD, USD/JPY This news sometimes causes some impact in USDXXX pairs. Better be careful around this time. The Wholesale Inventories are the stock of unsold goods held by wholesalers. Inventories are a key component of gross domestic product changes. A high inventory points to economic slowdown in the US, while a low reading points to a stronger growth.

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