100 hour MA stalls rally above. The low today did break below the 200 hour MA but momentum stalled near 50% retracement
The GBPUSD - before Plan B announcement - has settled between the 200 hour MA below at 1.2846 and the 100 hour MA above at 1.28843. The 100 day MA is not too far away from the 100 hour MA at 1.2890. The price currently trades at 1.2870.
Major indices higher. S&P moves above 50 day MA
The major US stock indices got an afternoon boost after reports - later denied - that US was mulling kickstarting trade negotiations by lifting the trade tariffs. Regardless of whether true or not, the report was enough to push the major indices higher. The final numbers are showing:
200 hour MA and 100 day MA retested
The AUDUSD has erased earlier declines. The low today reached 0.71458 which was the near the low from January 10th. That level was also near other swing highs and lows. Holding was key.
More momentum this time after pre-fixing fall whipped traders.
I know I wrote how the waters got muddy on the break back below the 100 day MA. That break occured a 10-15 minutes before the fixing. By the time of the fixing, the price squeezed back higher and the price has moved to new session highs, and also above the Monday highs at 1.29298. The GBPUSD is trading at the highest level since November 15th.
Key target along with the 50% at 2643.75 are eyed by bulls and bears
The S&P index is moving closer to the 50 Day MA. The pair is trading at session highs (up 6 points at 2622.10). The 50 day MA is at 2626.52 today. Yesterday, when the MA was at 2628, the high reached 2625.
100 bar MA on 4 hour chart tested
The USDJPY moved to new London/NY session highs and in the process tests the 100 bar MA on the 4-hour chart at 109.06. The high yesterday also tested that MA level but stalled. The MA is also in a swing area that defined swing highs from Jan8 and Jan 9 (at 108.99 to 109.08). A move above the MA is more bullish. Getting and staying above the 109.19, would be even more bullish for the pair.
Muddies the water for the bulls again....
The GBPUSD is dipping back below the broken 100 day MA at 1.28925, muddying the bullish waters.
The pair moved above the moving average earlier in the week (Monday and Tuesday). Each run higher eventually failed, and the price moved lower (see red shaded areas).
Breaking away from the 100 and 200 day MA
Yesterday, the USDCHF moved above the 100 and 200 day MAs at 0.9878 and 0.9890 respectively (). The rise yesterday did stall at the most recent swing high from January 4th, but the correction off that level stalled both yesterday and today right at the 200 day MA (see hourly chart below). That hold gave the buyers the go ahead to take the price higher.
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.