The forex markets continue to stay in sort of risk-on mode today, with weakness in Dollar and Yen, and strength in commodity currencies as led by New Zealand Dollar. Though, traders in other markets are not too committed yet. European indexes are just mixed while US futures point to slightly higher open. There is prospect for S&P 500 to follow NASDAQ to make new record high today, but we'll see how it goes. Technically, selloff in Yen solidifies with breach of 110.95 key resistance in USD/JPY and 132.63 minor resistance in EUR/JPY. AUD/JPY also breaks 83.95 resistance to indicate completion of three-wave correction from 85.78. Similarly, NZD/JPY breaks 78.06 resistance to indicate completion of three-wave correction from 80.17. But weakness in Dollar is not too convincing yet. We'll continue to pay attention to 4 hour 55 EMA at 1.1995 in EUR/USD, 1.3984 in GBP/USD, 0.9113 in USD/CHF and 1.2277 in USD/CAD. In Europe, at the time of writing, FTSE is up 0.46%. DAX is down -0.30%. CAC is down -0.32%. Germany 10-year yield is down -0.020 at -0.181. Earlier in Asia, Nikkei dropped -0.03%. Hong Kong HSI rose 1.79%. China Shanghai SSE rose 0.25%. Singapore rose 0.30%. Japan 10-year JGB yield rose 0.0009 to 0.056. |
