The University of Michigan Consumer Sentiment Index from the US is scheduled for release at 02:00 pm GMT and the global investors expect it to be in line with the last month’s number of 97.6 points. Nevertheless, this number might be easily beaten, because the Conference Board’s March consumer confidence index was released last Tuesday, and it jumped to 125.6. This was the biggest increase in 17 years. It is very unusual for almost the same scales to release completely different results or show the temporary divergence, so we might expect that University of Michigan Consumer Sentiment Index could exceed expectations.
Let’s now take a look at the USD/CHF technical picture at the H4 time frame before the news is published. The market is trading in overbought trading conditions, just below very important technical resistance zone, 0.9991 – 1.0033 levels. If the data from the US are better than expected, then this zone should be violated and the price should head upwards towards the next technical resistance at the level of 1.0059. In a case of worse than expected data, the price should correct cycle with a target at the next technical support at the level of 0.9949.
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
Global macro overview for 31/03/2017:
The University of Michigan Consumer Sentiment Index from the US is scheduled for release at 02:00 pm GMT and the global investors expect it to be in line with the last month’s number of 97.6 points. Nevertheless, this number might be easily beaten, because the Conference Board’s March consumer confidence index was released last Tuesday, and it jumped to 125.6. This was the biggest increase in 17 years. It is very unusual for almost the same scales to release completely different results or show the temporary divergence, so we might expect that University of Michigan Consumer Sentiment Index could exceed expectations.
Let’s now take a look at the USD/CHF technical picture at the H4 time frame before the news is published. The market is trading in overbought trading conditions, just below very important technical resistance zone, 0.9991 – 1.0033 levels. If the data from the US are better than expected, then this zone should be violated and the price should head upwards towards the next technical resistance at the level of 1.0059. In a case of worse than expected data, the price should correct cycle with a target at the next technical support at the level of 0.9949.
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
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