AUD/USD touches a high of 0.7093 on the day
The aussie was weighed sharply lower earlier today as RBA's Bullock raised concerns about Sydney home prices and iron ore futures took a tumble after Vale was given permission to open back one of its major iron ore mines in Brazil. AUD/USD fell to a low of 0.7057 but since then it has been a steady climb higher for the pair.
FedEx misses on top and bottom after the close
The US stocks are ending tghe session mixed. The Dow and S&P ending the session lower (marginally). The Nasdaq ended higher (also marginally). All were well off the highs
China news sends AUDUSD lower
Good news on China is good news for AUD.
Bad news on China is bad news for AUD.
The China "walking back" trade offers is bad news (although it may be normal) and the AUDUSD has moved lower.
Up 61% on the day
The S&P index has just extended to a new session high reaching 2851.76. The index last week tested swing highs at 2817 area. This week the index is moving away from that old swing high area.
Price bounces off the binary trade level
In an I wrote:
earlier post on the EURUSD
Looking at the hourly chart below, the price is moving back away from the overlay of the 100 day MA and looks toward a lower trend line and swing area in the . The swing area was broken yesterday, but the trend line did stall the fall. Today, both those technical tools are in the same area. The decision is therefore more binary.... Stay above keeps the bulls in control. Move below, puts the bears more in control.
Fall today tilts bias back to the downside
Looking at the daily chart of the USDCAD, the last few months has seen the price move above and below the 100 day MA. When the price moved below the MA line (blue line) it tended to extend lower. When the price moves above, it tended to extend higher.
Trend line below. Ceiling above.
The NZDUSD moved lower in early Asian trading and in the process fell below the 100 hour MA but not far away was a lower trend line . That line held and the recovery was on.
Can it stay above the 100 hour MA.
The GBPUSD pushed higher in London morning trading, helped by better employment data (+222K vs 120K for employment change). The run higher took the price above a ceiling area from Friday/ Monday at the 1.3300 level, but momentum quickly faded and the break higher failed (the high reached to 1.33101).
Trend line, 100 day MA and 50% retracement
The EURUSD is higher on the day but is running into some overhead resistance at a downward sloping trend line (at 1.1357), and 100 day MA (at 1.1163). As if that is not enough, the 50% of the move down from the January high comes in at 1.1372.
USD/CAD down a half cent
USD/CAD slipped below last week's low of 1.3287 but only by 4 pips so far. The fresh low marks the worst level since March 3 and it comes as oil prices rise once again -- hitting a four-month high of $59.57.
Below the 100 day MA but above a lower trend line
The USDJPY has extended lower today and in the process moved below its 100 day MA (blue line at 111.31). The pair, however, has stalled along a lower trend line and over the last 10 or so hours has ping-ponged between its 100 day MA above and the trend line below.
The USD is modestly lower
The major currencies are bunched together in the morning snapshot. Nevertheless, the morning snapshot is showing the CAD is the strongest and the AUD is the weakest. The RBA in their minutes said no need to move rates, and the bias is more balanced. The USD is mostly lower with modest declines vs. all the major currencies with the exception of the AUD.
Cable touches a high of 1.3311 before backing off slightly
The pound is the best performing major currency on the day as it is holding steady with plenty of talks of an extension and May still going ahead with a third meaningful vote helping to provide the currency with some stability on the day.
EUR/USD trades close to yesterday's high
Price is back to trading above the 1.1350 handle and is looking to contest the 76.4 retracement level @ 1.1362 but there is also the 100-day MA lurking nearby @ 1.1367. Of note, the near-term bias and momentum continues to side with buyers and that is helping to keep the pair underpinned alongside a weaker dollar to start the day.
Price action is still sandwiched between key near-term levels
Overnight headlines proved to be rather poor for the pound with government talks with DUP believed to be going nowhere and UK speaker John Bercow stating that May can't put her deal to a meaningful vote for a third time unless changes are made to the deal since the second vote seen last week.
Amongst all the Brexit baloney GS cuts through with some TA. Elliot wave, which is not my cup of tea but for those using it:
Like most of G10 FX, GBPUSD has been in a broad corrective process since August
Midday dips into the red, reversed and close well off the lows
The major US stock in the US are ending the day in the black after a dip midday sent the pair in the red. Even the Dow closed higher despite a drag by Boeing. The shares of Boeing subtracted 40 some odd points from the Dow.