The forex markets are rather mixed today even though stocks are generally in risk averse mode. Sterling regains some strength and takes Euro higher with it. Yet, there is no follow through buying through near term resistance against Dollar and Yen yet. Yen and Dollar turned mixed as markets sentiments stabilize mildly. US-China trade negotiations remain the main driver but there is no clear break through yet. Meanwhile, Canadian Dollar is the weakest one on dovish BoC and poor job data. Technically, with today's rebound, focus is immediately back on 1.3012 resistance in GBP/USD. Decisive break there will resume whole rise form 1.1958. GBP/JPY might also take on 141.50 for resuming rise from 126.54. EUR/USD edged higher through 1.1089 temporary top but quickly retreat. Focus is indeed back on 1.1053 minor support and break will indicate completion of rebound from 1.0989. In Europe, FTSE is down -0.75%. DAX is down -0.18%. CAC is down -0.18%. German 10-year yield is up 0.0087 at -0.334. Earlier in Asia, Nikkei dropped -0.48%. Hong Kong HSI dropped -1.57%. China Shanghai SSE dropped -0.25%. Singapore Strait Times dropped -1.16%. Japan 10-year JGB yield rose 0.0009 to -0.109. |
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