Forex Morning Briefing
$DXY, $EUR, $JPY, $GBP, $AUD
Commentary: USD ranged within 89.-89.2 PE
US Dollar (.DXY) Index at 89.101 ranging between 89.1-89.2 disspite of the FOMC maintaining its Hawkish tone and indicating that the next rate cut could happen in March. On the weekly lines, .DXY is trading just above long term support near 89, then a rise from here may be seen soon.
EUR (Euro) at 1.2414 marked a high of 1.2475 Wednesday testing resistance on daily candle. Euro has test at resistance the last 2 sessions, and has come off. This might be an indication that a decisive dip towards 1.23 could happen in here.
USD/JPY at 109.35 is moving up to test resistance at 109.5. With the Bank of Japan increasing the amount of government debt it will buy, need to see how yields react. The premium offered by US yields relative to Japanese yields have always impacted USD/JPY positively, that might resume soon.
EUR/JPY at 135.77 might move to 136 before seeing a dip, 1st support is at 135.0-135.2 on the daily, 3D-ay and weekly lines which should continue to hold near term.
Sterling (EUR) at 1.4193 trades near resistance at 1.42. A clear break there sees 1.44 then a dip.