Yen and Dollar are back in control today as Asian markets turned red, following weakness in the US overnight. Fed Chair Jerome Powell's comments somewhat disappointed investors. Australian Dollar weakens in general after data showed record contraction in employment. Though, Sterling is the worst one as it stays pressured after yesterday's downside breakout. Technically, GBP/USD's break o f 1.2247 support yesterday should indicate completion of recent rebound from 1.1409. Further fall should be seen to retest this low. GBP/JPY also resumed the fall from 135.74 by taking out 130.64 temporary low. The development reaffirms the case that corrective rise from 123.94 has completed. Deeper decline should be seen to retest this low too. Despite today's weakness, AUD/USD is still staying in range of 0.6372/6569. Near term reversal is building up with bearish divergence condition in 4 hour MACD. But 0.6372 support needs to be taken out first. In Asia, Nikkei closed down -1.74%. Hong Kong HSI is down -1.39%. China Shanghai SSE is down -0.78%. Singapore Strait Times is down -1.52%. Japan 10-year JGB yield is down -0.0032 at -0.004. Overnight, DOW dropped -2.17%. S&P 500 dropped -1.75%. NASDAQ dropped -1.55%> 10-year yield dropped -0.029 to 0.649. |
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