April 14, 2015: JPY is the strongest. GBP is the weakest.
In what has been a quiet day in the forex, the JPY is the strongest currency while the GBP is the weakest.
Looking at the chart below, the low to high trading ranges for the day are all well below the averages over the last 22 trading days. The EURUSD has a 63 pip trading range. There is only one other day with a more narrow trading range this year (the low is 53 pips). It is likely that we see an extension either to the upside or the the downside in trading today. For the USDCHF you have to go back to September 2014 to have a more narrow trading range.
The ECB decision (along with the Trade Balance) will be announced tomorrow. So there is reason to be apprehensive about what Draghi might have to say. With the EUR lower, QE in full swing, stocks higher and yields lower, he can say things are likely looking up. However, it is from a low base and I am not sure he wants to seem too optimistic and force the EUR higher.
The biggest % mover today is the GBPJPY which has increased by 0.24% which is not a lot. Nevertheless, there has been a bit of intraday up an down volatility in some pairs. For example, the EURGBP has had a run to new lows going back to March 19, only to bounce back some 46 pips. The USDJPY had a similar move as well. The market is simply unsure of the directional bias it seems.
At some point there will be a break in one direction or another, but for the time being, choppy action prevails.
