Free Trial
JGB TECHS

(Z2) Holds Bounce Off Midweek Lows

CNH

USD/CNH Back Below 20-Day MA

US TSYS

Early Tuesday Bid Fades

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

/IDR: Testing Key Support Area

CNH

The price action of spot CNH/IDR remains centred around a key pivot located slightly above the IDR2,200 mark. The rate last deals at IDR2,217, down 5 figs on the day.

  • The pair formed a double bottom pattern in mid-April to mid-June, with the neckline of that structure (IDR2,207) supporting subsequent pullbacks.
  • Adding to the importance of the area just above the broken neckline is the nearby 50% Fibo retracement of the Feb - May retreat (IDR2,212), which provided formidable support over the past week or so.
  • The region delineated by the aforementioned levels (IDR2,212/2,207) provides a notable near-term bearish target. A break here could tip the balance to the bearish side.
  • We are yet to observe the ramifications of yesterday's monetary policy decision from Bank Indonesia, which saw the Board of Governors defy pressure to raise the policy rate, while vowing to beef up rupiah stabilisation.
  • Worth noting that Indonesian President Widodo's trip to Beijing next week (Jul 25-26) has been confirmed by China. Jokowi will meet with President Xi and Premier Li to discuss "bilateral relations and major regional and international issues." Beijing will be Widodo's first stop during his East Asia trip, which also includes visits to Japan and South Korea.

Fig. 1: CNH/IDR Technical Picture

Keep reading...Show less
222 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.

The price action of spot CNH/IDR remains centred around a key pivot located slightly above the IDR2,200 mark. The rate last deals at IDR2,217, down 5 figs on the day.

  • The pair formed a double bottom pattern in mid-April to mid-June, with the neckline of that structure (IDR2,207) supporting subsequent pullbacks.
  • Adding to the importance of the area just above the broken neckline is the nearby 50% Fibo retracement of the Feb - May retreat (IDR2,212), which provided formidable support over the past week or so.
  • The region delineated by the aforementioned levels (IDR2,212/2,207) provides a notable near-term bearish target. A break here could tip the balance to the bearish side.
  • We are yet to observe the ramifications of yesterday's monetary policy decision from Bank Indonesia, which saw the Board of Governors defy pressure to raise the policy rate, while vowing to beef up rupiah stabilisation.
  • Worth noting that Indonesian President Widodo's trip to Beijing next week (Jul 25-26) has been confirmed by China. Jokowi will meet with President Xi and Premier Li to discuss "bilateral relations and major regional and international issues." Beijing will be Widodo's first stop during his East Asia trip, which also includes visits to Japan and South Korea.

Fig. 1: CNH/IDR Technical Picture

Keep reading...Show less