What’s going on right now?

  • EURUSD – on the back foot and largely driven by selling in EURGBP. That’s also putting a drag on EURJPY. GBP buying looks to be the driver of it all. EURUSD is into the recent area of support 1.1720/30 and a break might lead to a test of 1.1700. Keep an eye on the USD side as we might bee seeing a “Fed bid” playing out again. The options are also in the mix 1.1730-50
  • GBPUSD – 1.3140/80 makrs today’s edges, and as mentioned above, GBP buying is evident. There’s no news out and Theresa May’s opposition leader didn’t say much about Brexit we didn’t already know. Maybe the lack of anything incendiary has been met with some relief. EURGBP looks to be contained into 0.8900 for now, with 0.8940/50 the nearest resistance
  • USDJPY – Having another look into 113.00 as I type. There’s stops lurking around here somewhere so be mindful of a pop, probably somewhere 113.05-10. USD is bid up across the board so perhaps some traders are squaring up and /or positioning for tonight’s action
  • USDCAD – Not really joining in with the USD run elsewhere 1.2945/65 the range plus change
  • AUDUSD – Completes its round trip from 0.7240 to 0.7282 to 0.7240. Support is fairly strong here to 0.7235 and then 0.7220/25

We’re seeing this push around in the dollar so be mindful of your levels. If we can’t break the recent intraday ranges then we know that this is mainly just Fed positioning.

US New home sales is the only main data today.

Ryan Littlestone

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