This week is going to get chaotic, a ton of economic releases coming out. As always, the first Friday of every month marks the Non-Farm Payrolls. There will be much anticipation to see how this figure flairs out in gauging the strength of the U.S. economy.Here is a quick overview of the key events this week.
EURGBP tested a support level, but opens lower in a this support turned resistance level. However, keep in mind price crossed through once already. This pair is currently bullish if you were to look at how the Euro and Pound stack up against the U.S. Dollar, you’ll see the Euro is currently stronger and Pound weaker than the U.S. Dollar.
Keep in mind, the daily and weekly time frames still remain in a bearish trend.
I should also bring attention to the USDCHF pair. No clear chart setups at the moment, but the pre-market Reuters article points at a possible devaluation.
The Swiss National Bank chairman stated that the Swiss franc was overvalued, but set to weaken (Source: Reuters UK). After the SNB removed the 1.20 peg against the Euro back in January, the Swiss franc skyrocketed raising concerns for the export reliant economy. “The franc is significantly overvalued and should therefore weaken over time,” Thomas Jordan said in a discussion with readers of Schweiz am Sonntag. This is something to keep in mind for the upcoming weeks.