Overall, the major currencies posted small gains compared to the greenback during the Asian session. The move was supported by U.S. futures, which picked up gains during the after-market session. Ahead, the European calendar is very light, but the U.S. one holds some very important releases, including the first quarter U.S. GDP and the FOMC meeting. Most likely, the market will retain strong momentum for the rest of the trading session.

The Euro (Eur/Usd) traded side-ways during the Tuesday trading session, but picked up strong upside momentum after Mr. Trichet re-affirmed that cutting rates might not be the best solution. As such, the euro rallied 170 pips from Tuesday’s low during the U.S. session. Furthermore, the gains were extended in tonight’s Asian session, helping the pair pick up 30 pips.

The Pound (Gbp/Usd) formed three consecutive indecision patterns on the daily chart. It has been locked in a channel lately, which suggests the pair’s uncertainty. This was also the case on Tuesday, when the pair formed a doji-star pattern after testing unsuccessfully the 20 and the 100-day moving averages.

The Aussie (Aud/Usd) sold off lower during the early part of the overnight session on Tuesday, but it managed to find a bottom during the London open. From there, the swissy was pulled higher by U.S. futures, which posted significant gains. During tonight’s Asian session, the aussie gained another 60 pips, extending the advance seen during the U.S. session.
 
The Cad (Usd/Cad) traded in a small range on Tuesday, as the pair traded between two well-defined price points. To the upside, the pair struggled to break above the 20-day moving average, while on the downside, the 1.2175 area proved to be a strong challenge for the cad. In the Asian session, the cad dropped 25 pips, down to the same support area. 

The Swissy (Usd/Chf) traded on a similar note with the euro on Tuesday. The swissy moved side-ways during the overnight session, but fell 150 pips during the late European/early U.S. trading hours. The pair starts off the Asian session barely above the 100-day simple moving average. 
 
The Yen (Usd/Yen) rose 60 pips during tonight’s Asian session, even though the Japanese market is closed for trading. In the previous day of trading, the yen dropped 110 pips during the overnight session, but recovered most of the lost ground shortly after the London open, forming a bullish pin-bar.