AMarkets App

AMarkets App

The best trading app

ratings of app

Traders take interest in euro and pound again

March 14, 2023

EUR/USD: The European currency is holding near 1.0700. The situation with Silicon Valley Bank remains in investors’ focus. Yesterday, the German Federal Bank organized a special commission to assess the possible consequences of the current situation for the region’s economy, although the European Central Bank (ECB) has not yet taken any action on this matter. Experts note that EU banks are more stable because they have significant liquidity and more conservative assets on the balance sheet, unlike many US companies that often work with risky technology startups. Given the above, the consequences of the US banking crisis for the eurozone will not be so serious. Against this backdrop, the euro is likely to hit local highs.

BUY STOP 1.0720/TP 1.0800/SL 1.0690


GBP/USD: The British currency is trading around 1.2150. British Prime Minister Rishi Sunak said yesterday that the government is working to limit any negative effects of the current crisis on the region’s economy and business. On Wednesday, experts will await Treasury Secretary Jeremy Hunt’s presentation of a new state budget: the official promised to raise taxes and reduce government spending in order to close a significant budget deficit, but since then the economic situation has improved, and lower energy prices and stabilization of the financial system allow investors to hope for a reduction the amount of the tax burden. Additional support for the pound may be provided by the local weakness of the dollar ahead of the release of the US inflation data.

BUY LIMIT 1.2150/TP 1.2250/SL 1.2120


USD/JPY: The USD/JPY pair is rising today and is trading near 134.00. The pressure on the yen is exerted by weak statistics. Yesterday, data from the Japan Economic Research Center was published. The country’s gross domestic product (GDP) fell by 0.6% in January compared to December, the steepest decline since last August. Experts note that if the current trend continues, the country’s economy will lose 3.4% in the first quarter. Market participants also doubt that the Bank of Japan will revise the national monetary policy this year, which may become a long-term factor for the weakness of the yen.

BUY STOP 133.70/TP 134.50/SL 133.40