The ongoing war between Russia and Ukraine has led to a lot of volatility and has pushed prices higher and lower across all the asset classes. March is likely to be the month where seasonality tendencies might be downgraded in terms of actionability or reliability. If you are also interested in foreign exchange and want to know what the future might hold, read on for more on the March forex forecast and learn about the best places to trade Forex this month.
EUR/USD
March has been
bearish for EUR/USD. In fact, it has been the fourth-worst month according to
data from the last five years. The average loss has been -47% during the time.
Similarly, it has been the sixth-worst month in the last ten years, and the
average loss is -38%.
GBP/USD
Again, March
has been bearish for these currencies. March has been the third-worst month of
the year for this pair. The average loss was -0.54%. March has also been the
fourth-worst month over the past 10-years, with an average loss of -0.32%.
CAD/USD
March has
been bullish for USD/CAD from a seasonality perspective. It has been the
second-best month of the year for this pair over the last five years. There has
been an average gain of +1.10%. Similarly, it has been the sixth-best month over
the past 10-years, with an average gain of +0.24%.
Outlook
for Currencies
EUR/USD
The
strength of the dollar increased when Russia invaded Ukraine. The EUR/USD began
to break out of the tight range it has trapped for the last few months. The
downward trend might continue following the consolidation, according to the
daily chart. If the non-farm payroll figure is incredibly positive, the Euro
might slide further against the US dollar.
USD/CAD
USD/CAD was
also trapped in a tight range for most of February. It rose again as the US
dollar strengthened due to the Russian invasion. The price rose to a price gap from
December 2021 before falling back to the range.
If the
payroll data is weaker than expected, the USD might react negatively. If it’s
better than the expectations, the USD strength could increase.
What are
the Best Places to Trade Forex This Month?
If you want
to trade Forex, you can consider the following options.
1. FXTM
This
platform allowed you to trade with variable and fixed spreads starting from
only 0.1 on EDN accounts and 0.5 on Standard accounts. It’s globally licensed
and regulated. You will get support in over 30 languages.
2. LonghornFX
It is a
true ECN STP broker delivering a good trading experience to every trader
irrespective of their experience level. The services are based on innovation,
transparency, and efficiency to ensure everyone gets an unparalleled trading
experience.
It is one
of the globally leading online brokers founded in 2015. It offers more than 200
products and offers an innovative trading facility for many assets like commodities,
forex, indices, shares, and cryptocurrencies.
It is a
service-oriented global online trading brokerage that offers multilingual
services to 120 regions and nations.
Sources:
https://www.dailyfx.com/forex/technical/article/fx_technical_weekly/2022/03/02/monthly-forex-seasonality-march-2022-more-usd-strength-weakness-for-aud-cad-nzd.html
https://invezz.com/news/2022/03/04/nfp-forecast-march-2022-3-fx-pairs-to-watch-after-todays-data-release/
https://www.fxempire.com/forecasts/article/march-3rd-2022-forex-technical-outlook-920677