The forex markets are engaging in sideway trading in tight range in Asia today. The selling climax on Yen should have passed for the near term, with Yen pairs turned into consolidation mode. But the Japanese currency remains the runaway loser for the week, followed by Euro at a distant, and then Swiss Franc and Dollar. Australian Dollar is still the strongest one, together with other commodity currencies and Sterling. Technically, Gold's break of 4 hour 55 EMA is a near term positive sign. Yet, it still has to break through 1949.55 minor resistance to resume the rebound from 1894.77. In that case, Gold should target 61.8% retracement of 2070.06 to 1894.77 at 2003.09, which is close to 2000 handle. Such development, if happens, could be accompanied by resumption of EUR/USD's rebound from 1.0805. In Asia, at the time of writing, Nikkei is down -0.25%. Hong Kong HSI is up 0.19%. China Shanghai SSE is down -0.54%. Singapore Strait Times is up 0.80%. Japan 10-year JGB yield is up 0.005 at 0.231. Overnight, DOW dropped -1.29%. S&P 500 dropped -1.23%. NASDAQ dropped -1.32%. 10-year yield dropped -0.052 to 2.321. |
