29.03.201710:55 Forex Analysis & Reviews: Global macro overview for 29/03/2017

Global macro overview for 29/03/2017:

The CB Consumer Confidence data had beaten the market expectations. The number was released at the level of 125.6 points, which was way better than last month's 116.1 points and better than anticipated number of 113.9 points, the highest reading since December 2000. Consumers' assessment of both current business and labor market conditions improved sharply in March. They also anticipated an increase in their incomes. The possible reason behind this surge in optimism in the wake of Donald Trump's victory in last November's presidential election is his presidential campaign promises. The Trump administration has pledged to pursue business-friendly policies, including tax cuts and deregulation. In conclusion, the sentiment among the US households is very positive, but it might change if the Trump administration will fail to deliver what they promised.

Let's now take a look at the US Dollar index technical picture at the H4 time frame. After the lower low was made at the level of 98.86, the market rallied a little from the oversold levels and now it trading just below the psychological resistance at the level of 100.00. This is very important level for bulls, because once violated, it opens the road towards the weekend gap between the levels of 100.88 - 101.43 after the FED interest rate decision was made. The next support for the price is seen at the level of 99.53.