Published on Mar 20, 2023

Daily Analysis For EUR/USD 20-03-2023

EUR/USD Analysis

Economic Events and Scenario for EUR/USD

Economic Events: -

GMT		Event	Currency
06:00	-	(Estonia) PPI MoM	EUR
06:00	-	(Estonia) PPI YoY	EUR
07:00	-	(Germany) PPI YoY	EUR
07:00	-	(Germany) PPI MoM	EUR
08:00	-	(Switzerland) Myfxbook USDCHF Sentiment	CHF
08:00	-	(Australia) Myfxbook AUDUSD Sentiment	AUD
08:00	-	(Japan) Myfxbook USDJPY Sentiment	JPY
08:00	-	(European Union) Myfxbook EURUSD Sentiment	EUR
08:00	-	(United Kingdom) Myfxbook GBPUSD Sentiment	GBP
08:00	-	(Canada) Myfxbook USDCAD Sentiment	CAD
08:00	-	(New Zealand) Myfxbook NZDUSD Sentiment	NZD
10:00	-	(Euro Area) Balance of Trade	EUR
10:00	-	(Slovakia) Unemployment Rate	EUR
10:30	-	(Germany) 12-Month Bubill Auction	EUR
10:45	-	(European Union) EU Bond Auction	EUR
10:45	-	(European Union) 10-Year Bond Auction	EUR
11:00	-	(Luxembourg) Unemployment Rate	EUR
12:30	-	(Canada) New Motor Vehicle Sales	CAD
14:00	-	(France) 3-Month BTF Auction	EUR
14:00	-	(France) 12-Month BTF Auction	EUR
14:00	-	(France) 6-Month BTF Auction	EUR
14:00	-	(Euro Area) ECB President Lagarde Speech	EUR
15:30	-	(United States) 3-Month Bill Auction	USD
15:30	-	(United States) 6-Month Bill Auction	USD
16:00	-	(Canada) 5-Year Bond Auction	CAD
16:00	-	(Euro Area) ECB President Lagarde Speech	EUR
17:00	-	(El Salvador) Balance of Trade	USD
21:45	-	(New Zealand) Exports	NZD
21:45	-	(New Zealand) Imports	NZD
21:45	-	(New Zealand) Balance of Trade	NZD

Today's Scenario: - As the week kicks off on a positive note, the EUR/USD pair is seen making slight gains around the 1.0680 level. The currency pair has been on an upward trend for the past three days, driven by a combination of factors such as joint efforts by major central banks to prevent a liquidity crisis and the UBS-Credit Suisse deal, which has improved the market's overall risk appetite.

The recent collaborative efforts by the central banks have helped to alleviate concerns over a potential liquidity crunch in the market, thereby supporting investor confidence. The UBS-Credit Suisse deal has also added to the positive sentiment, with its positive impact on the market's risk profile.

Overall, the outlook for the EUR/USD pair seems positive, as it continues to benefit from the recent developments in the market. However, it is important to keep an eye on any new developments that could potentially impact the market's risk sentiment and influence the currency pair's movement.

Buy Scenario: - The EUR/USD pair has fallen below the static level of 1.0660 after initially testing that level in the early hours of the European session. The next resistance level is positioned slightly above at 1.0680, which is the 200-period Simple Moving Average on the four-hour chart. If the pair manages to close above this level on a four-hour basis, it could aim for the psychological level of 1.0700 and the static level of 1.0730 as potential targets, still we do not advise to buy EUR/USD currency pair.

Sell Scenario: - Upon examining the four-hour chart, it is evident that the EUR/USD pair has managed to rebound above the resistance zone of 1.0600 and the 100 simple moving average (red, four-hours). Additionally, the pair has surpassed the 50% Fibonacci retracement level of the downward movement from the 1.0759 swing high to the 1.0516 low. Till then we do not advise selling EUR/USD.

Support and Resistance Level: -