Daily Analysis 20/03/2023

Daily Analysis 20/03/2023


EURUSD

On the last trading day of the week, inflation data was at the forefront in the Euro Area. In the Euro Zone, inflation increased by 0.8% on a monthly basis in February, while it was 8.5% on an annual basis, in line with the expectations. Food, alcohol and tobacco products accounted for 3.1% of inflation, 2.0% for services, 1.74% for non-energy industrial products and 1.64% for energy. Industrial production in the US remained unchanged on a monthly basis in February. Manufacturing industry production, on the other hand, increased by 0.1% on a monthly basis in February. In the same period, the capacity utilization rate in the country remained unchanged at 78%. Central banks of the USA, Canada, England, Japan, Europe and Switzerland decided to increase the frequency of dollar swap line operations.

Technical Analysis

Support & Resistance Level
Resistance 3 1.0777
Resistance 2 1.0731
Resistance 1 1.0698
Support 1 1.0618
Support 2 1.0572
Support 3 1.0539

GBPUSD

Britain's manufacturing output rebounded in the first three months of 2023 in line with other measures of the economy improving, but firms expect the sector to contract as inflationary pressures continue, according to a survey. Trade body Make UK and accountants BDO reported that the quarterly manufacturing output indicator rose from +5 to +21 in the first quarter, reaching +24, the highest balance level since early last year. Producers expect a production balance of +32% in the next three months.

Technical Analysis

Support & Resistance Level
Resistance 3 1.2316
Resistance 2 1.2258
Resistance 1 1.2217
Support 1 1.2118
Support 2 1.2060
Support 3 1.2019

XAUUSD

The rise in ounce gold prices continues. This morning, a course between 1968-1993 dollars is observed under an ounce in the spot market. Developments related to banks are on the agenda of global markets. The rhetoric about whether there will be a banking crisis is making the markets uneasy. This leads to a weak risk appetite. According to sources close to the subject, Switzerland's largest bank UBS has agreed to buy Credit Suisse for more than $2 billion. It is seen that the Central Banks of the USA, Canada, England, Japan, Europe and Switzerland have also taken steps to provide liquidity in the market with a joint decision. For today, the developments regarding the banks will be followed.

Technical Analysis

Support & Resistance Level
Resistance 3 2079
Resistance 2 2033
Resistance 1 2009
Support 1 1940
Support 2 1894
Support 3 1870

BRENT OIL

Oil prices are trading lightly this morning. Global slowdown, interest rate hikes by Central Banks, sharp fall in natural gas prices are putting pressure on oil prices. The OPEC+ technical committee meeting is expected this week. However, no change is expected regarding the meeting. What happened in the banking sector has a negative impact on oil prices. The Fed's interest rate decision will be followed this week. The Fed's decision, economic projections and Fed Chairman Powell's speech will have an impact on the course of the markets on Wednesday. The data calendar for today is calm. Developments related to banks can be followed.

Technical Analysis

Support & Resistance Level
Resistance 3 79.68
Resistance 2 77.79
Resistance 1 75.17
Support 1 70.66
Support 2 68.77
Support 3 66.15

S&P500

Analysts reported that in the pricing in money markets, it is predicted that the bank will not increase interest rates with a 40 percent probability, and a 25 basis point increase in interest rates with a 60 percent probability. Analysts stated that the pricing that the Fed will set the final interest rate at 5 percent gained strength, and stated that the concern that the banking crisis might spread to small and medium-sized banks in the USA was effective. The S&P 500 closed the session down 1.10% at 3.916. As of this morning, the outlook for the S&P 500 futures contract is at 3,934.

Technical Analysis

Support & Resistance Level
Resistance 3 4069
Resistance 2 4039
Resistance 1 3993
Support 1 3916
Support 2 3886
Support 3 3840

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