The Greenback fell back sharply across the board after the CPI came out a tad lower yesterday. Today is full of significant fundamentals such as the Eurozone CPI as well as GDP.

On the other side of the Atlantic the TIC Flows and Housing Market Index will be closely watched as recent numbers from the United States has been more positive and better than consensus and a continuation of the latter will suggest a recovery in the US is imminent. Should the Housing Index fall below consensus, the Greenback might weaken as well

Herewith the Probability Studies for today:

EUR/USD – Bullish Trading Condition. The violation of the 60minute trend support line yesterday could not be sustained, therefore the new adjusted bullish 60minute trend. The hourly indicators are definitely oversold but we all know that an overbought signal from an indicator such as the Stochastic can be misleading if you take the underlying direction of highest probability into consideration. Watch out for the EuroZone CPI today as any signs of higher inflation can send the EUR to the Moon and back

USD/JPY – No Trade Zone. The violation of the bullish Current Trend Support line is still in the process of being confirmed, therefore the bullish 60minute trend. Should price violate the 60minute trend to the downside, a suitable bearish trading condition will present itself

GBP/USD – No Trade Zone within a Bearish Probability. Although the bearish 60minute trend is still intact, the indicators are mixed at this stage, placing the Cable in an awkward no trade zone. Wait for new lows to be defined before attempting ANY bearish trades

USD/CHF – No Trade Zone within a Bearish Probability. We adjusted the 60minute trend to accurately reflect the underlying trend. Nevertheless, the indicators are bullish at this stage which places the CHF in a no trade zone. Keep an eye out for the 1.0450 low as price might reverse/halt at this level

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