MNI BRIEF: Williams Is Confident Fed Getting Inflation Back To 2%

MNI China Daily Summary: Monday, July 1

MNI BRIEF: PBOC To Borrow CGBs In Response To Market Situation

MNI BRIEF: Caixin June Manufacturing PMI Hits Three-year High

MNI: PBOC Net Drains CNY48 Bln Via OMO Mon; Rates Unchanged

June CPI Below Market Expectations, Headline Y/Y At 2.4%

MNI: UK JUN BRC SHOP PRICES -0.2% M/M, +0.2% Y/Y

Multivariate Core Trend Inflation Falls To Post-2020 Low

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Price Signal Summary - USDJPY Volatile Activity But Finds Support Below The 20-Day EMA

OUTLOOK
  • In the equity space, S&P E-Minis traded lower Wednesday and cleared recent lows to confirm a resumption of the bear cycle that started mid-August. This strengthens bearish conditions and opens 3741.75, Jul 14 low. The key support at 3657.00, Jun 17 low, has also been exposed. EUROSTOXX 50 futures remain soft following the reversal last week from 3678.00, Jun 13 high. Attention is on a key short-term support at 3423.00, the Sep 5 low. This level has been pierced, a clear break would strengthen bearish conditions and open 3360.00, the Jul 14 low. Short-term gains are considered corrective, first resistance is at 3543.60, the 20-day EMA.
  • In FX, the EURUSD traded lower Wednesday, resuming the downtrend following the break of support at 0.9864, Sep 6 low. The move lower maintains the bearish price sequence of lower lows and lower highs - the definition of a bear trend. The focus is on 0.9694, a Fibonacci projection. Resistance is seen at 0.9945, the Sep 16 low. The GBPUSD downtrend remains intact. The reversal lower last week reinforced bearish conditions and the continued weakness maintains the bearish price sequence of lower lows and lower highs, signalling scope for a continuation. The focus is on the 1.1153, 1.764 proj of the Jun 16 - Jul 14 - Aug 1 price swing. USDJPY has staged a sharp reversal following today’s BOJ intervention. The pullback resulted in a print below 141.68, the 20-day EMA. The trend structure remains bullish and it is too early to tell whether today’s price action is the start of a more meaningful reversal. A daily close below the 20-day EMA and below 140.00 would strengthen a bearish threat. A resumption of gains however, would refocus attention on the 145.00 handle and beyond.
  • On the commodity front, Gold is consolidating and the recent pause in the downtrend appears to be a bear flag formation. This pattern reinforces a bearish theme. The recent break of support at $1681.0, the Jul 21 low, confirmed a resumption of the downtrend that started early March. Attention is on $1640.9 next, the Aug 8 2020 low. In the Oil space, the WTI futures outlook is bearish and yesterday’s gains are considered corrective. The recent break of support at $85.37, Aug 16 low, confirmed a resumption of the downtrend that started Jun 8. A resumption of weakness would open $79.83 next, the Feb 18 low. Firm resistance is at $89.59, the 50-day EMA.
  • In the FI space, Bund futures remain in a clear downtrend and Tuesday’s extension lower confirmed a resumption of the bear leg that started early August. 140.67, the Jun 16 low (cont), has been pierced. A clear break would open the psychological 140.00 handle. Gilts remain vulnerable and futures touched a fresh trend low of 103.32 on Wednesday. Attention is on 103.05 2.236 projection of the Aug 22 - 24 - 26 price swing.
Metals bulletForeign Exchange Technical AnalysisHomepagemarkets-real-timeCommoditiesEquitiesEnergy BulletsBulletMarketsFixed Income BulletsForeign Exchange Bullets
Metals bulletForeign Exchange Technical AnalysisHomepagemarkets-real-timeCommoditiesEquitiesEnergy BulletsBulletMarketsFixed Income BulletsForeign Exchange Bullets

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.