Thursday Briefing: From DXY, Gold to Latest FX Headlines; March 30, 2023

US Dollar Index Overview

• DXY trades noticeably lower as U.S. released GDP q/ data with negative numbers.
• It made intraday high at 102.77 and low at 102.09 mark.
• A day Chart and H1 chart with triple EMA suggest down trend for the time being.
• Immediate hurdles are seen at 102.96 to 102.12 mark.
• A sustained close of either side on H1 chart requires for the further directions of the U.S. dollar.

Technical Analysis: XAU/USD (Gold)

• Gold spikes up as U.S. failed to meet GDP q/q expectations and jumps back above $1,970 mark.
• The pair made intraday high at $1,975 and Low at $1,955 mark.
• A day chart and H1 chart with triple EMA suggest up trend for the time being.
• A sustained close above $1,974 on H1 chart requires for the upside rally.
• Alternatively, a consistent close below $1,962 on H1 chart will test further supports.

 
Key Headlines for the FX market:

• U.S. Final GDP q/q stands at 2.6 pct vs 2.7 pct previous release.
• U.S. Unemployment claims weekly stands at 198K vs 191K previous release.
• Russian forces have had some success in the city of Bakhmut, Ukrainian military officials said, adding that their fighters were still holding on. The mining city and surrounding towns in the eastern region of Donetsk have been a focal point of assault for much of Russia’s invasion.
• Russia’s FSB security service said that a reporter with The Wall Street Journal, Evan Gershkovich, had been detained in the Urals city of Yekaterinburg on suspicion of espionage. The newspaper said that it “vehemently denies” the allegations and seeks the immediate release of their reporter.
• Taiwan predicts a less severe reaction from China to an expected meeting between President Tsai Ing-wen and U.S. House Speaker Kevin McCarthy, according to a senior Taiwan security official.
• The easy-cash era is over and markets are feeling the pinch from the sharpest jump in interest rates in decades. The collapse of Silicon Valley Bank after heavy losses on its bond portfolio as rates climbed was a wake-up call that monetary tightening will likely bring more pain.

Source: Reuters

Keep an eye open for the latest news and fundamentals affecting the FX markets.

Take a look and do trade wisely!
Good Luck