Dollar holds its ground ahead of European morning trade
The dollar got a decent lift on Fed vice chair Clarida's remarks yesterday and is holding gains for the time being as we look towards European morning trade.
Of note, USD/JPY is posting a decent advance to 109.60 levels after the rebound off 109.00 yesterday and is tracking above its 100-day moving average of 109.59 now:
That said, the near-term chart shows that price is running into some resistance from the 200-hour moving average @ 109.68 and that could limit price movement in the session ahead, given that Treasury yields are also still more tepid after Monday's drop.
Keep below that and the near-term bias remains more neutral while a push above that opens up the path for a retest of the 110.00 level. In any case, there are also large expiries for the pair @ 109.50 so that is something to consider.
Elsewhere, the dollar is keeping largely steadier with EUR/USD stuck in a narrow 7 pips (!) range between 1.1832 an 1.1839 and other major currencies also sticking with relatively tight ranges against the greenback for the time being.
It is starting to feel like a bit of a typical pre-NFP lull before tomorrow's main event.
