Weekly FX Technical Insights

The broad pullback in the US dollar evident since the start of last week continued, on the back of relative softness in US data as well as updated guidance from Fed officials which has leaned towards the dovish side. This week, the US receives a lighter flow of data with earnings being the focus. Beginning on Monday, the Chicago Fed National Activity Index for March will be rolled out. There will be no data releases on Tuesday but Wednesday sees the release of existing home sales data for March, as well as weekly MBA mortgage applications for the week ending 17 April. On Thursday, jobless claims for the week ending 18 April will be released. The Markit manufacturing PMI and new home sales for March will also be released. And finishing off the week on Friday, markets receive durable goods orders data for March. There will also be no senior Fed official scheduled for any public speaking engagement in this blackout week ahead of the next FOMC meeting on 28-29 April.