Selloff in Sterling remains the focus in Asian session today, as markets are adding their best to no-deal Brexit. The currency markets are relatively quiet elsewhere. Canadian Dollar is currently the second weakest, then Euro. Yen and Swiss Franc are the strongest, with help by falling treasury yields. Dollar is the third strongest as markets await Fed's rate cut tomorrow. Technically, GBP/USD is in downside acceleration and should be targeting 1.1946 low next. GBP/JPY is on track to retest 131.51 low and break will resume fall from 156.96 towards 122.36 low in medium term. EUR/GBP's strong break of 0.9101 key resistance also carry long term bullish implication and the cross should target 0.9305 (2017 high). Both upside USD/CHF and USD/JPY lost upside moment ahead of near term resistance. The greenback will likely turn into consolidation first, in general, except versus Pound. In Asia, Nikkei is trading up 0.33%. Hong Kong HSI is up 0.32%. China Shanghai is up 0.56%. Singapore Strait Times is up 0.15%. Japan 10-year JGB yield is down -0.0033 at -0.149. Overnight, DOW rose 0.11%. S&P 500 dropped -0.16%. NASDAQ dropped -0.44%. 10-year yield dropped -0.026 to 2.055. |
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