Markets have one eye on the G20 meetings
- EURUSD – Still holding the Powell pop and the marker for that is th e1.1340/50 area. Break that and we’ll take back a good chunk of the gains. 1.1300 will likely contain unless there’s big news. No real effort to take 1.1400 so that’s the boundary topside and a new favourite for shorts
- USDJPY – Tight again and in no rush to go anywhere. Mild resistance around 113.60 gets stronger into 70/80, then into 114.00 once again. Main support into 20 with some ahead of there at 30.
- GBPUSD – Trading within yesterday’s range of 1.2725-1.2850 and waiting for the next Brexit news to hit, as always.1.2810/20 marks the top, 1.2740, the low. 1.2700 is shaping up to be a big level. The early drop from 1.28 was led by EURGBP buying for end of month. Three guesses who’s in the frame for that? 😉
- USDCAD – This pair looks a bit lost right now. One minute it’s following oil, the next it’s USD. The trend since Oct is pretty clear and the fact we keep nicking new highs towards 1.3400 shows the strength of that, although it’s still a bit touchy-feely. Use the 50’s as the levels to watch, being 1.3250-1.3350.
- AUDUSD – Once again struggling to hold the 0.73 handle. A break of 0.7290 and we could unwind the pop as the buyers take what they’ve got off the table up here. 0.7325/30 & 0.7340/45 are the resistance points. 0.7270/75 the likely support level if it does break down
Canadian GDP and PPI is the only main data today and unless there’s a big variation, we might not get anything volatile. But, this is CAD so expect anything. I’d be a potential seller into 1.3400 if that happened, depending on the news that drives it there.