Dollar Recovering Slightly as Markets Turned Mixed, Treading Water
| Action Insight Daily Report 1-16-23 |
Dollar Recovering Slightly as Markets Turned Mixed, Treading Water |
The forex markets turned mixed with an ultra-light economic calendar today, while the US is on holiday. Dollar is recovering slightly but it's outperformed by Swiss Franc and Canadian. Yen is paring some of recent gains, as eyes turn to Wednesday's BoJ policy decision. Sterling and Aussie are turning softer together with Euro. Overall, though, most major pairs and crosses are staying inside Friday's range. Technically, AUD/JPY could be a pair to watch in the upcoming Asian session with a batch of China data featured. So far, price actions from 87.00 are corrective looking. Rejection by 55 day EMA also keeps outlook bearish. Retest of 87.00 low should be seen on next move. Firm break there will resume whole fall form 99.32 to 38.2% retracement of 59.85 (2020 low) to 99.32 at 84.24. In Europe, at the time of writing, FTSE is up 0.10%. DAX is up 0.41%. CAC is up 0.37%. Germany 10-year yield is up 0.0250 at 2.165. Earlier in Asia, Nikkei dropped -1.14%. Hong Kong HSI rose 0.04%. China Shanghai SSE rose 1.01%. Singapore Strait Times dropped -0.31%. Japan 10-year JGB yield rose 0.0026 to 0.514. |
EUR/USD Mid-Day Outlook Daily Pivots: (S1) 1.0787; (P) 1.0827; (R1) 1.0874; More... A temporary top is formed at 1.0873 with current retreat. Intraday bias in EUR/USD is turned neutral for consolidations first. But further rally is expected as long as 1.0482 support holds. On the upside, break of 1.0873 will resume larger rally from 0.9534 to 61.8% projection of 0.9630 to 1.0733 from 1.0482 at 1.1164 next. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
|---|
| 23:50 | JPY | PPI Y/Y Dec | 10.20% | 9.50% | 9.30% | 9.70% | | 00:00 | AUD | TD Securities Inflation M/M Dec | 0.20% | 1.00% | | 06:00 | JPY | Machine Tool Orders Y/Y Dec P | 1.00% | -7.70% | | 13:30 | CAD | Manufacturing Sales M/M Nov | 0.00% | 2.30% | 2.80% | 2.40% | | 15:30 | CAD | BoC Business Outlook Survey |
|
|
|
