EUR/USD
The EUR/USD pair gathers strength around 1.1730 during the early European trading hours on Wednesday. The Euro (EUR) edges higher against the US dollar (USD) amid hopes for a US-Iran peace deal. Traders will keep an eye on the release of the US ADP April Employment Change report later on Wednesday.
GBP/USD
GBP/USD ended Tuesday near where it started, settling close to 1.3545 after a narrow session capped by resistance around 1.3550. Price has held a roughly 60-pip range across the past two sessions, with overlapping wicks pointing to a market lacking conviction in either direction.
USD/JPY
USD/JPY advances some 0.48% on Tuesday as the Greenback remained steady during the session following last Thursday’s intervention in the FX markets by Japanese authorities, which bought the Yen, with the pair tanking nearly 2.50% or almost 400 pips. At the time of writing, the pair trades at 157.91.
AUD/USD
AUD/USD edges higher by 0.25% on Tuesday, settling close to 0.7185 after finding support around 0.7150 during the European session. Price has been carving out a narrow range across the past few sessions, with overlapping wicks and small-bodied candles pointing to indecision as traders digested the Reserve Bank of Australia (RBA) decision.
NZD/USD
The NZD/USD pair is seen building on the previous day’s goodish rebound from the vicinity of mid-0.5800s, or the weekly low, and gaining positive traction for the second straight day on Wednesday. The momentum seems unaffected by New Zealand’s mixed jobs data and lifts spot prices back above the 0.5900 mark during the Asian session.
USD/CAD
The USD/CAD pair trades in a narrow range on Tuesday, with choppy price action as a mild pullback in Oil prices puts modest pressure on the commodity-linked Canadian Dollar (CAD). At the time of writing, the pair is trading around 1.3619 after hitting an intraday low of 1.3604.
USD/CHF
USD/CHF loses ground for the second successive day, trading around 0.7800 during the Asian hours on Wednesday. The pair declines as the US Dollar (USD) weakens amid rising optimism that Washington could secure a deal with Iran.
CRUDE OIL
Oil prices fell for a second day on Wednesday on expectations bottled-up supply from the key Middle East producing region could resume flowing after U.S. President Donald Trump indicated a possible peace deal may be reached to end the war with Iran.
Gold (XAU/USD) sticks to its strong intraday gains near a more than one-week high and trades above the $4,650 level heading into the European session on Wednesday. The US Dollar (USD) weakens across the board amid optimism over a potential US-Iran peace deal, helping the commodity to build on the recovery from an over one-month low, around the $4,500 mark set on Monday. Moreover, retreating Crude Oil prices ease inflationary concerns and temper bets for a more hawkish US Federal Reserve (Fed), which is seen as another factor driving flows towards the non-yielding yellow metal for the second straight day.
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