Weekly report: Short is coming.

As we can appreciate the price is in finally in the upper part of the channel area, situation analysed in the last sunday report. The odds are inclined to a downside movement.

What to take on considerations:

In the fundamental side: on wednesday there is going to be the FOMC meeting, the important here is what is going to said Powell´s to the first quarter economic growth, the economy grew at a surprising rate of 3.2%, well above the consensus forecast of 2.5%, if the Fed keep their dovish tone with this datas, the chance to see one more cut in the federal rate increase. The earning season this week is coming with Alphabet, Apple and such more that could bring volatility to the FX market.

In the technical side: The price is in the upper part of the channel area, what we can expect is a stronger consolidation in this area with a flat movement before the price get down with a sharply movement. There is an escenario the price to take a new high, but is must likely it happen with a weak movement.

Sources:

forexfactory.com/calendar.php
cnbc.com/2019/04/26/investors-brace-for-a-roller-coaster-week-ahead-with-fed-decision-and-apple-alphabet-earnings.html
cnbc.com/2019/04/26/hot-first-quarter-economic-growth-number-challenges-fed-as-it-meets-next-week.html