Dollar is generally strong today, but buying focus is temporarily shifted from against Yen to Euro and Sterling. In particular, EUR/USD has taken out key support level at 1.1663. Overall markets are mixed though, with stocks recovering while treasury yields retreat. Yen and Swiss Franc are the stronger ones for today followed by the greenback. New Zealand Dollar is the worst performing, followed by the Pound. Technically, EUR/USD's break of 1.1663 should confirm resumption of whole fall from 1.2265. The pair should now target 1.1602 key medium term structural support. While USD/JPY is struggling to break through 111.65/71 resistance cleanly, retreat is so far shallow. As noted before, firm break of 111.71 will carry larger bullish implications for USD/JPY. We'd now also look at EUR/JPY, to see if it would break through 130.73 resistance to align with Yen selling, or break through 129.36 minor support to align with Euro selling. In Europe, at the time of writing, FTSE is up 0.0%. DAX is up 0.87%. CAC is up 1.03%. Germany 10-year yield is down -0.0139 at -0.210. Earlier in Asia, Nikkei dropped -2.12%. Hong Kong HSI rose 0.67%. China Shanghai SSE dropped -1.83%. Singapore Strait Times dropped -0.11%. Japan 10-year JGB yield dropped -0.0057 to 0.069. |
