Those trading the Forex markets today may experience some Deja-Vu from the horrid Thanksgiving to New Years period, when liquidity and volatility left the markets, as traders took holiday vacations.
Volatility was again absent in markets today, as European and US equities and futures are closed for Good Friday ahead of Easter Sunday. Major currency pairs remained in tight 25 point bands over the European session, which was absent of any significant releases.
Japanese markets were open today, and the Nikkei 225 closed 0.50% higher. More importantly, the equities index finished the best two consecutive quarters since 1972. In releases, housing starts were reported 3.0% higher than February 2012, but the release had no significant effect on Forex trading.
EUR/USD bounced back and forth between 1.2825 and 1.2800 over the session on little news worthy of market attention. There were no new updates to the Cyprus crisis, and the mandate to create an Italian government has officially returned to the President, following Bersani’s failed coalition attempt.
A broken support line around 1.2820 may now provide resistance for EUR/USD, and support may continue to be provided at the 1.2700 line.
Despite the closure of US equities and bonds for the holiday, there are a few US economic releases with potential to influence Forex trading.
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EURUSD Daily: March 29, 2013
Chart created by Benjamin Spier using Marketscope 2.0
— Written by Benjamin Spier, DailyFX Research. Feedback can be sent to bbspier@fxcm.com .
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.Learn forex trading with a free practice account and trading charts from FXCM.
Source: Daily fx
