Free Trial

Holiday-themed markets kicked in overnight...>

DOLLAR
DOLLAR: Holiday-themed markets kicked in overnight as traders reported of
extremely light volumes. The dollar witnessed a mixed session, stronger against
JPY & NZD, with minor losses seen against EUR, GBP & AUD. USDJPY briefly traded
under the 200-dma (Y110.92) yesterday to Y110.83, before rallying into the NY
close. The threat of a US government shutdown could provide main risk today as
market participants continue to focus on the downside and extend the bearish
trend. A close below the 200-dma opens a deeper correction towards the Y110
handle & Aug 21 low at Y109.78. The DXY remains in a holding pattern toward the
lower end of its weekly range. A break of yesterday's low (96.16), opens a move
toward the 96.00 level (96.04 - Nov 20 low), below here opens the 100-dma & 50%
retracement of 93.81-97.71 at 95.94/76. Gold accelerated through the 50%
retracement of 2018 range yesterday before topping out at $1266.55. However
bulls will take confidence in the close above the 200-dma, targeting channel top
resistance at $1269.67.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.