We’ve been pretty devoid of US headlines in the European session and all the action has been in the US and early Asian sessions. Friday is here and the market is going to be expecting further progress on the news overnight that talks were ongoing.
The market is still pricing in a positive result before the weekend but unless we get some concrete headlines we’re likely to see some profit taking kicking in as the day wears on. It may not be to the level we saw last week, but it’s worth bearing in mind.
USD/JPY could be susceptible since it’s run up to the 98.50’s and we topped out at the 100 dma at 98.55 on the button. Just above there we have the 200 h4 ma at 98.60 lending strength to resistance also.
USD/JPY daily chart 11 10 2013
Bids are layered down to 97.50 but I’d look at the overnight low at 97.90 as the first possible support level for any drops.
As the yanks wipe the sleep from their eyes and hit the desks we’ll be waiting for the politicians to do the same (normally a good few hours after the rest of America has gone to work).
Our fingers are primed for the headline onslaught
