Markets Steady in Slow Start, Jackson Hole as Highlight of the Week
| Action Insight Daily Report 8-22-22 |
Markets Steady in Slow Start, Jackson Hole as Highlight of the Week |
The markets are rather steady in Asian session today. With a near empty calendar, trading could remain subdued. Activity, however, might start to increase with the wave of flash PMI data to be released tomorrow. For now, Aussie and Kiwi are trying to recover. But Dollar is staying firm. Euro and Yen are on the weaker side, together with Swiss Franc, while Sterling and Loonie are mixed. Technically, GBP/CAD is attempting to break through 1.5348 low to resume the long term down trend. Prior rejection by 55 day EMA is clearly a bearish sign. Yet, downside momentum has been diminishing as seen in bullish convergence condition in daily MACD. Hence, even if the down trend continues, GBP/CAD would probably to find enough buying above 1.4831 (2010 low), and probably around 1.5 handle, to bottom. Anyway, Sterling will continue to under perform Canadian for a while at least. In Asia, at the time of writing, Nikkei is down -0.51%. Hong Kong HSI is down -0.09%. China Shanghai SSE is up 0.36%. Singapore Strait Times is up 0.67%. Japan 10-year JGB yield is up 0.018 at 0.219. |
EUR/AUD Daily Outlook Daily Pivots: (S1) 1.4570; (P) 1.4602; (R1) 1.4639; More... EUR/AUD dips mildly today but stays in established range. Intraday bias remains neutral first. Further decline is expected as long as 1.4804 resistance holds. On the downside, firm break of 1.4318 low will resume larger down trend to medium term projection level at 1.3623. However, break of 1.4804 will delay the bearish case and turn bias to the upside for stronger rebound first. | |
| GMT | Ccy | Events | Actual | Forecast | Previous | Revised |
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| 10:00 | EUR | German Buba Monthly Report | | 12:30 | CAD | New Housing Price Index M/M Jul | 0.40% | 0.20% |
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