The 50 day MA comes in at 2626.53. High reaches 2625.50. Netflix is the first major tech firm to report after the close.
The S&P moved to a new session high at 2525.50 but still could not breach the 50 day MA at 2626.58 (one point short). A move above targets the 50% at 2643.
A topside trend line at 140.78
The price of the GBPJPY bulls have snatched victory from the jaws of defeat today. Earlier the pair moved sharply lower but the fall stalled in a swing area from earlier in the month and just above the 100 hour MA (blue line in the chart below). The rally in the London session since then, just took the price above the close from yesterday (140.47). A topside trend line cuts across at 140.78. The high just reached 140.65.
Morgan Stanley earnings disappoint. Netflix after the close
The major US stock indices are now officially open and a snap shot of the major indices is pointing to the downside. Morgan Stanley soured the mood of investors after missing on the top and bottom lines. In addition more tension from Huawei has traders concerned about US/China relations.
Broken 61.8% stalls the rally so far today
The EURUSD has defined the range today by using a lower trend line as support (that trend line comes in at 1.1368 currently), and the broken 61.8% retracement above at 1.14062. There is a topside trend line at 1.1410 (and moving lower).
The USD is marginally higher with gains vs NZD, CAD and CHF
The snapshot of the major currencies is showing the JPY is the strongest. The NZD continues its fall to the downside (was the weakest yesterday) is the weakest as North American traders enter for the day. The USD is mixed with gains vs the NZD, CAD and CHF and declines vs the JPY, GBP and EUR. The AUD is unchanged on the day.
GBP/USD races to a high of 1.2911 before backing off the figure level
There wasn't any real notable headline for the spike from 1.2880 but buyers are just testing the waters once again in a move higher. Resistance and offers are seen around 1.2900-10 followed by the 1.2925-30 level. Of note, the 100-day MA also provides daily resistance @ 1.2890 so that will be another level to watch out for as well.
First attempt fails after price hits a high of 1.3309 then backs off
Price climbed above the key hourly moving averages in Asian trading today and weaker risk sentiment is only helping to fuel a move higher on the day. Oil is trading lower by 0.7% and that's also helping to add a bit of pressure on the loonie.
AUD/USD threatens a firm break below the 100-day MA
Sellers managed a marginal close below the 100-day MA (red line) yesterday but I wouldn't consider it a real break just yet since price is still very much hugging the technical level. But as risk sentiment remains weak as we begin the European morning, we're seeing a further move to the downside in the pair as price threatens to move further away from the 100-day MA.
TD Securities sees a case for the yen to strengthen on capital flows
In that lieu, he's arguing that this is "the story that electrifies the yen through USD/JPY moving lower because capital is coming back to Japan".
Still up for the 2nd consecutive day
The major indices are ending higher, but gains were somewhat ho-hum. The Dow led the way with a gain of 141 points but 110 of the gain was a result of the gain in Goldman Sachs.
Watching 108.90 to 109.00 for support
The USDJPY did shoot higher and in the process moved above the the 108.99 (call it 109 level - see green numbered circles). That is bullish and the price moved to 109.19.
100 day MA above and the 100 hour MA below
As the clock ticked to the no-confidence vote and the debate went on (great TV), traders in the GBPUSD have kept the price between the 100 day MA above at 1.28918 and the 100 hour MA below at 1.28325.
Can the break above remain
The bullish news for the USDCHF today is the price have moved above the 100 and 200 day MA. That is move bullish. The problem is the price stalled at a topside trend line and the swin high from January 4th. The price has come off those levels back to test the 200 day MA at 0.98885. Stay above, and the upside has more to go. Move below and the recent rally, starts to run out of steam.
Not ready to move above the 200 hour MA
The USDCAD is trading in a 49 pip range today (thanks to a dip to new lows in the NY session). The fall came after a failed attempt at trading above the 200 hour MA (green line). The price has been below the 200 hour MA since January 3rd. The consolidation at the lows since January 8th after a trend run lower, has allowed the MA to catch up with the price. Now is the time to make a choice....higher or lower.
Break lower ran out of steam
The AUDUSD fell in the London session and in the process cracked back below the 100 day MA and for a brief moment at least, the 200 hour MA (green line in the chart below). Those breaks should have solicited more selling, but it was not to be. Now, the pair is back above both MAs and trades between the 100 hour MA below and the 200 hour MA below. The "market" is unsure of the next move. Traders are playing the waiting game (it seems) and will now look for a stronger push, break and run.