Forex Market
USD/JPY Analysis
Closed in NY Friday at Y79.53 having consolidated early session gains. Asian trade opened flat due to the national holiday in Singapore, before Gotobi demand from Japanese importers lifted to Y79.60 through the fix.
Asia today: EUR steady amid talk of plan to cap EU bond yield
An early minor reaction to week press reports that the ECB was mulling interest rate caps for peripheral Eurozone government bonds was the only thing to report from an otherwise dull, holiday-affected Asian start to the week.
Asian Currencies Technicals
AUD/USD: Aug 2 lows finally give way. The pivotal support noted at Aug 2 lows finally gave way and now sees initial focus on a retest of the 200 day moving average with back down to July monthly lows targeted overall.
GBP Analysis
Opened early Europe at $1.5703, stg0.7862, GBP closed in NY at $1.5727, off intraday highs of $1.5745 with sterling getting a boost during Thursday’s session from the release of stronger than expected UK retail sales data, with risk appetite seen in NY providing additional buoyancy.
FX Daily Majors
Today’s highlights: * EURUSD: Aggressive rally higher leads to a re-test of the 1.2387/8 resistance hurdle. Failure here keeps the downside threat alive, but above exposes 1.2444/79.
FX Daily Strategist: Europe
US Treasury sell-off resumes, but USD loses against high yielding G10 FX In FX markets, the rise in US yields has persisted while the USD has continued to remain weaker, especially against the high yielding currencies.
European FX Daily
* Asian currencies and equities mixed * Singapore exports (NODX) contracted in July, but better than expected * We have raised our three-month USDIDR forecast to 9700
Technical Analysis
Higher EUR/SEK, AUD/USD testing key support… EUR/USD Bounced off the flag floor… AUD/USD Important junction just below… USD/JPY Enough?… EUR/SEK 8.31 a first hand target…
FX Market Technical Research
EUR/USD: Focus on Fibonacci Level, 21-DMA. The daily stochastic study forms a bear-cross, while 10-day momentum is flirting with the zero line, keeping bear’s attention on the 21-DMA, which rises to $1.2279.
GBP/USD Analysis
Closed in NY at $1.5727, off intraday highs of $1.5745 with sterling getting a boost during Thursday’s session from the release of stronger than expected UK retail sales data, with risk appetite seen in NY providing additional buoyancy.
EUR/USD Analysis
Closed in NY at $1.2355, off its recovery highs of $1.2373 after rate had been driven up from session lows of $1.22556.
Asian Currencies Technicals
AUD/USD: Aug 2 lows seen as pivotal. The correction from four month highs has paused ahead of the 21 day moving average and the somewhat pivotal $1.0436 Aug 2 lows as daily tech studies continue to unwind their overbought condition.