Busy Economic Calendar: Anticipation of Key Inflation Numbers and Interest Rate Decisions

On the Forex market, the Yen continues its bearish course, now on its sixth consecutive candle. It seems the trend will continue as many Yen pairs have broken key supports. Yesterday, EURUSD managed to set new long-term highs, USDCHF achieved new long-term lows, and EURGBP also reached new long-term lows. Clearly, we are living in interesting times.

When it comes to indices, we had a solid session yesterday. It appears the bearish correction is largely over, and buyers are back in the game. This is particularly evident on DAX, which falsely broke below 15700 points—a move that could have triggered a powerful sell signal. However, the price rallied back above this resistance, resulting in a false breakout and a clear signal to go long.

On the commodities front, we witnessed notable rises, largely attributable to the weaker dollar. Buy signals are present on gold—which formed a small inverse head and shoulders pattern—and on oil. Brent oil successfully held $77.6 per barrel as a support, signaling a buy based on the escape from the sideways trend.

Today's calendar is packed. We've already had the interest rate decision from New Zealand, with the Reserve Bank of New Zealand keeping rates unchanged at 5.5% for the first time in two years. Later, we'll have the US inflation numbers, which are the key data for today. On a yearly basis, a drop to 3.1% is anticipated. Additionally, we have the interest rate decision from Canada, where a 25 basis points increase is expected.