Thin Monday morning liquidity has enabled traders to trigger stops above 8030 and 8050, pushing to a high of 8072 before a rapid retreat back below 80c. Japanese accounts were seen selling AUDJPY on top. Exaggerated moves early on a Monday morning, especially stop loss triggers, are usually negated and consolidation for the rest of the day can follow.
I would say we have seen the high for the Asian session. Look for 7930 to offer same technical supports with some bids between 7880 – 7920. Day traders will look to buy 7950-70 and play range 7950 – 8050.
Retail sales for April is released at 0130GMT. Forecast is for +0.5%. Look for direction via the number, especially if it comes in at the extremes.
