Attention is likely to focus on remarks by Fed Chair Powell
21.03.2022
- Remarks by ECB President Lagarde
- Remarks by U.S. Federal Reserve Chair Powell
Last weekend, the U.S. dollar gained ground against the euro, which had been trading weakly, causing the EUR/USD pair to drop by about 110 pips from 1.111 to 1.100. During today’s Asian session, the EUR/USD is trading below the 20-period moving average on the hourly chart, indicating a lack of direction at this stage. On the 4-hour chart, the pair is positioned at the midpoint of an upward channel, so we will be watching for price action starting in the European session.
Like the Japanese yen, the euro is currently a weak currency among European currencies. Over the weekend, the Swiss franc surged, causing the EUR/CHF pair to drop by about 110 pips from 1.040 to 1.028. From a technical perspective, the EUR/CHF is currently trading just above the 20-day moving average on the daily chart, so I would like to wait and see how the price develops before making a decision.
Today’s schedule includes the release of Germany’s Producer Price Index at 16:00 CET, remarks by ECB President Lagarde at 16:30, Hong Kong’s Current Account and Consumer Price Index at 17:30, remarks by Bostic, President of the Atlanta Fed, at 21:30, and remarks by Fed Chair Powell at 01:00.Since the Japanese market is closed today, we should be on the lookout for larger-than-usual price movements.
Author: Keisuke Sakurai
