The AUD is the strongest and the CHF is the weakest as NA trader enter for the day

Technical Analysis

Author: Greg Michalowski | forex

The USD is weaker

As the North American session begins, the AUD is the strongest and the CHF is the weakest of the major currencies.  Commodities are all higher with copper continuing to move higher in anticipation of increased industrial demand (auto rebound) and housing demand (new home sales surged at the end of last week).  Meanwhile, grain futures are also rising on weather related issues caused by another cold snap from the Midwest is delaying plantings.  The USD is being mostly dragged lower by the rises in the commodity currencies (CAD, AUD, and NZD). The greenback is higher vs the CHF, EUR and GBP but more modestly.  Tesla reports earnings today and kicks off a huge week for earnings with Apple, Amazon, Facebook, Alphabet and others all to release. Durable goods will be released at the bottom of the hour.  The FOMC rate decision will be on Wednesday. Univ of Michigan consumer confidence will be released on Friday along with personal income and spending.  

The USD is weaker
The ranges and changes our showing the USDCAD trading near lows.  The Bank of Canada announced last week that they will start to tape. That lead to a strengthening of the CAD (lower USDCAD) and the trend has continued today.  The EUR erased early gains and trades negative now. The USDCHF is trading higher after earlier declines and is preaching is 100 hour moving average and 0.91577 as North American trader enter for the day.  

The ranges and changes for the major currency pairs
In other markets:

  • Spot gold is trading near unchanged at $1777 (down -$0.25)
  • Spot silver is up $0.05 or +0.22% at $26.06
  • WTI crude oil is trading down $0.91 -1.46% at $61.23
  • Bitcoin is back above the 50,000 level trading of $53,576.97.
In the premarket for US stocks, the major indices are mixed with the futures implying
  • Dow industrial average up 44.51 points. On Friday the Dow rose by 227.59 points
  • S&P index down -1.67 points. On Friday the S&P rose by 45.19 points
  • NASDAQ index down -34.94 points. On Friday the NASDAQ index rose by 198.39 points.
In the European equity markets, the major indices are mostly higher:
  • German DAX unchanged
  • France's CAC +0.28%
  • UK's FTSE 100 +0.2%
  • Spain's Ibex, +0.7%
  • Italy's FTSE MIB, +0.3%
In the US debt market, the major indices are higher with a steeper yield curve. The two – 10 year spread is back up 2142.98 from 140.02 at the close on Friday.

US yields are higher
In the European debt market, the benchmark 10 year yields are also moving to the upside with gains of 1.7 to 3.7 basis points:

European yields are mostly higher
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