9.20 Monday, for the past 24 hours:
• EURUSD has dropped 43 pips against the previous day close; hit target set yesterday, but close far below.
• ↓ 65 pips High & Low extreme move, vs. 46.7 pips of 22 day Average Range.
Strength (0~10) Comparison:
• USD in early session MEDIUM 5.6 -> 9.0 STRONG of late session
• EUR in early session STRONG 7.9 -> 4.1 MEDIUM of late session
Market Focus & Moods:
• US equities slumped had at the open for the eighth time in the past 10 trading days. With the dip in equities came a broad bid in the US dollar, even against CHF and JPY. It wasn't exactly a risk off trade in bonds either as rates pushed. Could the market be sniffing out a surprise taper announcement?
• Monday, 7am German PPI;
Afternoon, 3pm US NAHB Housing Market Index. A light data day.
Next Step:
• Due to US Dollar's rise momentum I expect a test:
- Resistances 1st 1.1737, 2nd 1.1763~1.1763 zone;
- Support at 1st 1.1710 (medium), 2nd 1.1702, 3rd 1.1690;
- Close around 1.1710~ 1.1735 area.
• EURUSD has dropped 43 pips against the previous day close; hit target set yesterday, but close far below.
• ↓ 65 pips High & Low extreme move, vs. 46.7 pips of 22 day Average Range.
Strength (0~10) Comparison:
• USD in early session MEDIUM 5.6 -> 9.0 STRONG of late session
• EUR in early session STRONG 7.9 -> 4.1 MEDIUM of late session
Market Focus & Moods:
• US equities slumped had at the open for the eighth time in the past 10 trading days. With the dip in equities came a broad bid in the US dollar, even against CHF and JPY. It wasn't exactly a risk off trade in bonds either as rates pushed. Could the market be sniffing out a surprise taper announcement?
• Monday, 7am German PPI;
Afternoon, 3pm US NAHB Housing Market Index. A light data day.
Next Step:
• Due to US Dollar's rise momentum I expect a test:
- Resistances 1st 1.1737, 2nd 1.1763~1.1763 zone;
- Support at 1st 1.1710 (medium), 2nd 1.1702, 3rd 1.1690;
- Close around 1.1710~ 1.1735 area.
