The forex markets appear to be turning into a consolidative phase for now. Yen is trading broadly lower as European indexes and US futures rebound further. Canadian Dollar is the strongest one with WTI crude oil reclaiming 68 handle. Aussie and Sterling are following as the next strongest for the day. But after all, there is not much change in the weekly picture, as Dollar and Yen are still the strongest while commodity currencies are the weakest. Technically, USD/JPY's strong rebound is worth a note. Eyes are now on 110.33 resistance. Break there will argue that corrective fall from 111.65 has completed at 109.05. Stronger rise would then be seen back to retest 111.65 high. At the same time, Gold is back below 1800 handle, with eyes on 1791.45 support. Break will indicate completion of rebound from 1750.49, and bring retest of this support. Both developments, if happen together, could indicate stronger rally in Dollar elsewhere. In Europe, at the time of writing, FTSE is up 1.52%. DAX is up 0.85%. CAC is up 1.37%. Germany 10-year yield is down -0.002 at -0.410. Earlier in Asia, Nikkei rose 0.58%. Hong Kong HSI dropped -0.13%. China Shanghai SSE rose 0.73%. Singapore Strait Times rose 0.25%. |
