Forex Morning Briefing, Major Pairs
$DXY, $EUR, $JPY, $GBP, $AUD
Commentary: The US CPI & Retail Sales data may affect the USD today. PE
The Dollar (.DXY) Index at 99.57 registered a high at 99.89 before a minor correction, but the Bullish momentum is intact above 99.35-25.
USD/JPY at 113.67 is seeing a correction from 114.37, but if it manages to hold above the support at 113.30-10, could see another bounce. On the other hand, Nikkei at 19823.28, -0.69% getting rejected at Psych resistance at 20000 may boost JPY Vs USD. So, while Bullish preference remains in place, a clear break below 113.10 may cause a change in the overall view.
EUR (Euro) at 1.0877 paused and may consolidate for a couple of sessions in the range of 1.0840-1.0940 before resumption the near term downtrend.
Sterling (GBP) at 1.2887 corrected sharply to test support at 1.2860 after the BOE 17 May mins shows expectations of slower than anticipated growth in Y 2017 and that real earnings will fall this year. The weakness may be used by the global investors to buy, especially if it comes near 1.2800 as the larger trend is up.
AUD (Aussie) 0.7375 has been ranged within 0.7325-0.7425 this week, but a resumption of the major downtrend may resume next week for a test of the target support at 0.7300-0.7290 from where a recovery could be expected.
Have a terrific weekend.