The GBP is the strongest and the JPY is the weakest as NA traders enter for the day/week

Technical Analysis

Author: Greg Michalowski | forex

The USD is a little lower

As the week gets underway, the GBP is the strongest and the JPY is the weakest. The USD is a little lower but overall the forex market is off to a slow start. 

The recent coronavirus figures from China are showing:

  • Feb 1: 14,380 (number of dead across the country 304)
  • Feb 2: 17,205 (number of deaths 361)
  • Feb 3: 20,438 (death toll 425)
  • Feb 4: 24,324 total cases, 490 deaths
  • Feb 5: 28,018 (death toll up by 73, now 563)
  • Feb 6: 31,161 (up 3,143), death toll is 636 (up 73)
  • Feb 7: 34,564. Deaths now at 722
  • Feb 8: 37,198, Death toll 811.
  • Feb 9: 40,171. Death toll 908.
The markets are taking the numbers in stride so far as it remains largely centralized in China. However, no one really knows what may be the next wind of change for the virus or the markets reaction to how the winds change impact the various markets.  So although things may be more kind and less fearful NOW, there still exists risks.

The USD is a little lower

The ranges and changes are showing the GBP pairs have the largest ranges (and are trading near highs).  The GBPUSD was down as much as -20 pips into the early European session but has rebounded higher and stand up some 36 pips.  The AUDUSD has shown some upside momentum as well after trading to the lowest level since 2009.  The low today could not make a new low today, and there has been a modest correction higher.  

The ranges and changes for the major currency pairs
In other markets:
  • Gold is pushing modestly higher. The price is up $3.06 or 0.19% at $1573.43
  • WTI crude oil futures are down $0.18 and -0.36% at $50.14
In the premarket for US equities, the futures for the major indices are implying a lower opening
  • Dow is moving lower and currently trades down -70 points
  • NASDAQ index is down -11.5 points
  • S&P index is down -6 points
in the European equity market major indices also trade to the downside:
  • German DAX, -0.39%
  • France's CAC, -0.4% percent
  • UK's FTSE 100, -0.3%
  • Spain's Ibex, -0.2%
  • Italy's FTSE MIB, unchanged
In the US debt market yields are trading:

US yields are lower
In the European debt market, yields are also modestly lower with changes ranging from -0.4 basis points to -1.9 basis points.

Him him European yields are lower
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