As can be seen in Jamie’s NY wrap, equity markets were around 1% lower overnight and most of the forex market leads are still coming from equity markets. EUR/JPY is the lead pairing during this timezone and the short term view remains constructively bullish (technicals to follow shortly). 125.75/126.00 is an extremely important resistance level and bulls need to break above there to increase upward momentum. This pair has a tendency to go up the stairs and down the elevator, so keep trailing stops fairly tight if running a long position.
The other major level to watch today is the expected option protection at .6280 in the AUD/USD.
Good luck today.
