Daily Forex Market Preview, 16/04/2018
The U.S. dollar was seen trading mixed on Friday with lack of any clear fundamentals moving the markets. The overall theme as well as the risk appetite was somewhat mixed.
On the economic front, the Eurozone trade balance data released last week showed a moderate increase to 21 billion euro, up from 20.2 billion euro from the previous month. Germany’s final inflation data showed that consumer prices increased at a pace of 0.4% on the month.
Looking ahead, the economic data is relatively quiet with only the retail sales data from the U.S. expected today. Core retail sales is expected to rise 0.2% on the month while headline retail sales are forecast to rise 0.4%, offsetting the 0.1% decline from the previous month.
The news about the U.S. coalition forces strike over Syria is expected to create a standoff between the United States and Russia. This could potentially keep investors on the edge on escalating tensions between the two countries.
GBPUSD 16-04-2018 Intra-day analysis
GBPUSD (1.4257): The British pound maintained gains from earlier this week, with GBPUSD trading above the previous highs formed at 1.4232. The retest of this level suggests a short-term consolidation at this level. If this level holds, GBPUSD could be seen posting further gains. Alternately, a breakdown below 1.4232 could signal a sharper correction back toward the 1.4162 level where support could once again be tested. The overall bias in GBPUSD remains to the upside for the moment with the bounce of the support level likely to see price push higher in the short term.