Daily Markets

• The U.S. dollar posted small gains Tuesday, drifting ahead of the likely imposition of reciprocal tariffs by U.S. President Donald Trump later this week, while the euro weakened ahead of key inflation data. The dollar has largely stalled in anticipation of President Trump’s unveiling of more trade tariffs potentially as early as this evening, but more likely on Wednesday - the day he has deemed "Liberation Day." Trump has argued that the tariffs are necessary to correct imbalances between the U.S. and its foreign trade partners, as well as a tool to bring manufacturing jobs back to the country. However, some economists have warned that the duties will refuel inflationary pressures and weigh on growth, leading to a period of so-called "stagflation. There are also an abundance of important U.S. economic data indicators due this week, starting later in the session with the February reading of a measure of job openings, which will be the first of a string of labor market data that will culminate with the all-important nonfarm payrolls report on Friday. The Job Openings and Labor Turnover Survey, or JOLTS report, is seen coming in at 7.690 million on the last day of February, compared with 7.740 million in the previous month In Europe, EUR/USD traded 0.1% lower to 1.0801, ahead of the release of key economic data, including March consumer prices. The eurozone CPI index is expected to fall to 2.2% in March on an annual basis, from 2.3% the prior month, but a surprise to the downside is possible given German inflation fell more than expected in March. The ECB has cut interest rates six times since June, but has provided few signals about its next move since the most recent reduction of its key deposit rate to 2.5% at the March meeting.USD/CNY edged 0.2% higher to 7.2681, even as private purchasing managers index data showed better-than-expected growth in the manufacturing sector, mirroring a government reading from Monday. The central bank flagged heightened uncertainty over the Australian and global economy, especially in the face of increased U.S. trade tariffs.

Gold – XAU

Gold on Tuesday its intraday high of US$3148.88/oz and low of $3100.75/oz. Gold is down by 0.284% at US$2984.60/oz.

Technicals in Focus:

On the daily charts, gold trades higher than 20DMA (2197). If it drops below this level, it could lead to 2,100. The MACD is currently above the zero line and the histograms are showing an increasing trend, indicating that there may be upward movement in the coming sessions. The RSI is currently at 83.04, which is in the overbought region, suggesting there may be selling pressure in the next 2 to 3 sessions. The Stochastic Oscillator is also in the overbought territory but has given a positive crossover, indicating a bullish stance for intraday trades, but rebound in expected in all the overbought indicators.

Trading Strategy: Sell on Strength

Sell below 3129-3200 keeping stop loss closing above 3200, targeting 3128-3096-3089 and 3077-3069-3059-3050. Buy in between 3100-3050 with risk below 3050 targeting 3128-3149-3160-3174 and 3185-3194-3204.

Silver - XAG

Silver on Tuesday its intraday high of US$34.19/oz and low of US$33.44/oz settle down by 0.28% at US$33.66/oz.

Technicals in Focus:

On daily charts, silver is sustaining above 20MA (25.05), breakage above will lead to 23.73. MACD is below the zero line and histograms are increasing trend, bringing a bullish stance in the upcoming sessions. RSI is in the oversold region, indicating a sell signal for now. The Stochastic Oscillator is in the overbought region and gives a positive crossover to show an upside move for the intraday trade.

Trading Strategy: Buy on Dips

Buy in between 33.50-31.10, targeting 33.90-34.45 and 34.85-35.25-35.50-36.00 with stop loss should be placed on the breakage below 31.00. Sell in between 34.10-36.00 with a stop loss above 36.00 targeting 33.95-33.10-32.60 and 32.10-31.60-30.90.

Oil - WTI

Crude Oil on Tuesday high of US$71.78/bbl, an intraday low of US$70.77/bbl, and settled down by 0.301% to close at US$70.86/bbl.

Technicals in Focus:

On daily charts, oil is sustaining above its 100DMA i.e. 75.37, a support level, and breakage above will call for 77.48. MACD is above the zero line and histograms are in increasing mode will bring a bullish stance in the upcoming sessions. The Stochastic Oscillator is in the overbought region, giving a negative crossover to confirm a bearish stance; while the RSI is in the neutral region, more upside can be expected to reach the overbought region, which is highly probable.

Trading Strategy: Neutral to Sell

Sell in between 71.10-74.85 with stop loss at 75.00; targeting 70.66-70.00-69.00 and 67.90-67.00-66.20. Buy above 70.50-63.05 with risk daily closing below 63.00, targeting 71.50-72.30-73.00 and 74.00-74.65.

EUR/USD

EUR/USD on Tuesday an intraday low of US$1.0777/EUR, a high of US$1.0829/EUR, and settled the day down by 0.215% to close at US$1.0792/EUR.

Technicals in Focus:

On daily charts, prices are sustaining above 100DMA (1.0800), which becomes immediate support, a break below will target 1.0717. MACD is above the zero line and histograms are increasing mode, bringing a bullish view. Stochastic is in oversold territory, giving negative crossovers to the bullish outlook for intraday. 14D RSI is currently in a neutral region and giving no directions to consider right now.

Trading Strategy: Neutral to Sell

Sell below 1.0790-1.1035, targeting 1.0800-1.0725-1.0650 and 1.0600-1.0540-1.0490 with stop-loss at daily closing above 1.1035. Buy above 1.0750-1.0490 with risk below 1.0490 targeting 1.0830-1.0890-1.0935 and 1.0990-1.1035.

GBP/USD

GBP/USD on Tuesday low of US$1.2878/GBP, a high of US$1.2939/GBP, and settled the day up 0.0351% to close at US$1.2921/GBP.

Technicals in Focus:

On daily charts, prices are sustaining above 50DMA (1.2674) is becoming a support level. 14-D RSI is currently in a neutral region and direction is difficult to predict on an RSI basis. The Stochastic Oscillator is in oversold territory and gives a positive crossover to confirm a bullish stance. MACD is above the zero line, but histograms are increasing leading to movement.

Trading Strategy: Neutral to Buy

Based on the charts and explanations above; buy in between 1.2900-1.2380 with a target of 1.2920-1.2960-1.2990 and 1.3040-1.0390-1.3140 with a stop loss closing below 1.2380. Sell in between 1.2960-1.3140 with targets at 1.2920-1.2850-1.2790-1.2753 and 1.2660-1.2590-1.2510 with a stop loss of 1.3140.

USD/JPY

USD/JPY on Tuesday an intra‐day low of JPY148.69 /USD an intraday high of 150.26/USD, and settled the day up by 0.139% at JPY149.92/USD.

Technicals in Focus:

In daily charts, JPY is sustaining above 100DMA (155.35), major support on the daily chart. 14-D RSI is currently in the overbought region and chances of downward are expected based on RSI. MACD is above the zero line but histograms are in decreasing mode which might lead to downward movement. The Stochastic Oscillator is in overbought territory and signaling to sell as it has given a negative crossover to confirm a bearish stance.

Trading Strategy: Neutral to Sell

Sell below 150.90-159.50 with risk above 160.00 targeting 148.00-147.10-146.50 and 146.00-145.20-144.50. Long positions above 149.10-143.50 with targets of 148.00-148.60-149.00 and 150.00-150.60-151.10 with stops below 143.00.