Forex market reviews

This week has seen some crucial movements on the US dollar. USD made new local highs/lows on many instruments; the DXY and EURUSD being the best examples. It seems that it’s time for a small correction. But only a correction, not a reversal. The main trends look intact and the next few weeks should be positive for the greenback as well.

On Wednesday the 24th of April, trading on the euro closed down. In the US session, the bears broke an important support at 1.1170. Buyers tried to recover from this, but a lot of stop levels were activated below this level and the broadly stronger dollar pushed the euro further down to 1.1141.

The big news today is the lower than expected CPI from Australia, which negatively affects both currencies from the Antipodes. In my opinion, the best occasion on Kiwi and Aussie pairs can be spotted on AUDCHF, where we have a false breakout pattern above the crucial long-term resistance. Also in focus today are bitcoin and the cable.

On Tuesday the 23^rd of April, the euro dropped to 1.1192 against the US dollar. Trading on the pair closed at the 1.1227 mark, but pressure on the euro remains as a result of the collapse of the Aussie dollar this morning.