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Market Analysis

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Hello everyone, today Avatrade Aihua Foreign Exchange will bring you "[Avatradescn Forex Platform]: Trump opens up a new trade front! The US dollar is hesitating." Hope it will be helpful to you! The original content is as follows:

Earlier on Wednesday, the U.S. dollar remained elastic against its main aihuaforex.competitors, and the U.S. dollar index stabilized above 104.00 after ending a four-day straight gain on Tuesday. The U.S. Economic Calendar will showcase the December durable goods order data. In addition, several Fed policy makers will speak in the second half of the day.

The Office for National Statistics (ONS) reported earlier on Wednesday that annual inflation, measured by changes in the Consumer Price Index (CPI), fell from 3% in January to 2.8% in February, down from 2.9% expected. The core CPI, which excludes volatile food and energy prices, rose 3.5% during the period, aihuaforex.compared with a 3.7% increase in January. Monthly, CPI rose 0.4% after falling 0.1% before. GBP/USD has difficulty gaining traction after these data and trades in the negative value area below 1.2950. Later that day, the Chancellor of the Exchequer will issue a UK Spring 2025 statement in the House of aihuaforex.commons.

The US consumer confidence data was disappointing, making it difficult for the US dollar to outperform other currencies on Tuesday. Meanwhile, Wall Street's main index rose slightly on the same day. In early Wednesday, U.S. stock index futures fell slightly on the same day, reflecting cautious market sentiment.

Basic foreign exchange market trends:

Euro/USD closed in the negative area for the fifth consecutive trading day on Tuesday. The pair managed to limit losses, but remained below 1.0800 early in the European session on Wednesday.

U.S. President Donald Trump said in an interview with Newsmax on Wednesday that he plans to impose copper import tariffs within a few weeks. After this development, copper prices soared to new historicalhigh. In turn, the AUD/USD gained traction, trading above 0.6300 in early European trading.

The US dollar/yen reversed its direction after three consecutive days of gains, down 0.5% on Tuesday. The pair rebounded and traded around 150.50 in early European trading.

Big market fundamentals:

In terms of aihuaforex.commodities, gold rose 0.2% to $3,025. This week, gold has been hovering below the all-time high of $3,057.21 that it hit last Thursday.

Oil prices rose, with Brent crude oil futures rising 0.4% to $73.31 a barrel, while U.S. WTI crude oil futures rose 0.4% to $69.29 a barrel.

Analysis of major currency trends:

Euro: The intraday bias of the euro/dollar remains neutral at present. The correction pattern of 1.0953 may expand with another decline. But the downside space should be curbed by the 38.2% retracement level of 1.0358 to 1.0953 to 1.0726 to bring about a rebound. On the plus side, breaking through 1.0953 will resume the rebound from 1.0176 to the key resistance level 1.1274.

Pound: The intraday bias of pound/dollar remains neutral first. On the downside, breaking through 1.2886 will resume correction from 1.3013 and turn to downside. But the downside space should be curbed by the 38.2% retracement level of 1.2248 to 1.3013 to 1.2721 to bring a rebound. On the bright side, breaking through 1.3013 will resume rebounding from 1.2099.

Yen: The intraday bias of the US dollar/yen remains neutral at this point. It is expected that 150.92 will still show strong resistance to aihuaforex.complete a correction rebound from 146.52. The downward breakout exceeds 148.17 support will be retested first at 146.52. The 61.8% retracement level of 146.32, which continues below 139.57 to 158.86, will resume the decline from 15aihuaforex.com8.86 to 139.57 support. However, a firm breakthrough of 150.92 will indicate that the decline from 158.86 has been aihuaforex.completed, and then the bias will be turned back to the upward 154.79 resistance level.

The above content is about "[Ava Aihua Foreign Exchange Platform]: Trump opens up tradeNew front! The entire content of the US dollar is carefully aihuaforex.compiled and edited by the editor of Avatrade Forex. I hope it will be helpful to your transactions! Thank you for your support!

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