FxWirePro: Forex Daily Update

The US dollar index activity remained subdued due to the US market holiday. Markets eagerly waiting for FOMC meeting minutes (Fed 21st 7 pm GMT) for further direction. It hit a high of 104.41 at the time of writing and is currently trading around 104.229.

According to the CME Fed watch tool, the probability of a no-rate cut in  Mar increased to 91.50% from 84% a week ago.

 The US 10-year yields have consolidated in a narrow range for the past two days. The US 10 and 2-year spread narrowed to -34.5% from -53%.

Major resistance- 105/106

Major support- 104.50/103.80.

EURUSD-

EURUSD  trades quietly as US markets closed for Washington's birthday. Markets eye Euro and German flash manufacturing PMI on Thursday for further direction.

Major resistance-1.0800,1.0880

Major support- 1.0720,1.0660

Yen-

The pair's upside was hampered after verbal intervention by the Japanese Finance minister. Any break above 149.50 confirms minor weakness.

Major Resistance- 151,152

Major support- 148,146.50

Canadian Dollar

The Canadian dollar showed a minor decline ahead of CPI data. The jump in crude oil prices supports the Canadian dollar at lower levels.

Resistance- 1.3550,1.3600

Major support- 1.3435,1.3380