February 12, 2016
The GBP is the strongest. The NZD is the weakest in trading today. The action seems to be more flow related Stocks are higher and that sort of explains GBP strength a little. The market reaction has been when stocks are higher, that is bearish for EURGBP/bulllish for GBPUSD.
For the NZD, the FPI was stronger than expected just before the US and day close yesterday. That helped to push the NZDUSD higher, but then the activity started to turn around. IN the NZDUSD the price fell back below the 200 day MA at the 0.6690 level and it has stayed below that level. The pair is approaching a support level near the 100 and 200 hour MAs at the 0.6636-47 area. Look for support there.
Looking at the ranges, the USDJPY has reached the average over the last 22-days (or close to it). The EURUSD is short of the level but trading at the day's lows. The EURUSD is also testing the 100 hour MA at the North American bell at the 1.1261. There is some room to roam. Shorts need that break.
It is Friday and stocks are up..Really? The S&P is up 18 points after moving below the 1812 level yesterday ever so briefly before there was an OPEC cut in production article in the WSJ. The Nasdaq is up around 35 poiints currently in pre-open trading. WTI is up 4.8%% in early trading at $27.45
