Global Market Snapshot 24th March 2025

Last week, most of the major global financial markets entered a consolidation phase. After a steep decline since mid-February, U.S. equities showed signs of a modest rebound, but the upward momentum has clearly weakened. The U.S. dollar, which was under pressure throughout March, appears to have found a short-term bottom and is now staging a mild recovery. Solid U.S. economic data has somewhat eased concerns about prolonged trade disruptions.

In Europe, the euro and the German DAX index also exhibited signs of exhaustion. Earlier in the month, optimism surrounding Germany’s €500 billion historic investment plan for infrastructure and defense led to a sharp market rally. However, traders are now starting to factor in the political and implementation risks, tempering enthusiasm.

In this climate, overall risk appetite remains subdued. While tariff concerns could cap further equity gains and limit the dollar’s rebound, it’s unlikely that the global markets will see any major volatility before early April.

Weekly Forex Forecast

EUR/USD

• The pair climbed to 1.0954 last week before retreating, suggesting a short-term top may have formed.
  
• This week, the bias is bearish, with a downside target at 1.0532, the lower boundary of the recent trading range.
  
• A break below this level could lead to further consolidation within a new range.
  
• Resistance remains at 1.0954; a break above would reignite the rebound from 1.0176.

USD/JPY

• The pair remained in a consolidation range last week and is expected to continue in that pattern.
  
• Resistance sits at 151.31; a break above this would shift the trend from neutral to bullish.
  
• Support lies at 146.53; a drop below this level could resume the downtrend from the 158.86 peak.

GBP/USD

• After a climb last week, the pound dropped back, especially at the week’s end, hinting that a top may have formed at 1.3016.
  
• The pair is likely to trend lower, targeting support at 1.2715, which is the top of the previous channel and could trigger a bounce.
  
• A break above 1.3016 would suggest the resumption of the uptrend from 1.2099.
  

USD/CHF

• The pair dropped early last week before bouncing back, continuing to trade within a range.
  
• Resistance is at 0.8925; a breakout here would shift the outlook to bullish.
  
• Support is at 0.8754; a break lower could open the door to a deeper decline toward 0.8374.
  

AUD/USD

• The Australian dollar rose to 0.6390 before quickly retreating last week, yet it held above key support.
  
• The pair remains in a neutral trend this week.
  
• Support is at 0.6185; a break below could signal the end of the corrective rally from 0.6087, targeting 0.6086.
  
• Resistance is at 0.6408; a break above would turn the neutral trend into bullish.

USD/CAD

• The pair remained in a sideways consolidation last week, and this trend is expected to continue.
  
• Resistance is at 1.4542; a break above this level would extend the uptrend from 1.4150, potentially retesting 1.4791.
  
• Support is at 1.4148; a break below would turn the outlook bearish.
  

Conclusion
With consolidation still dominating price action across many asset classes and volatility subdued, traders may find this a strategic time to reassess positioning before potential breakouts in April. Stay alert for key support and resistance tests that may define the next leg of market movement.