EURUSD breaks 1.2260 overnight as the market further reacting to the hawkish Powell comments for a chance of more rate hike in US. And boost the UST yield up and lower effect on stocks. The Germany unemployment rate, Eurozone CPI and US GDP annualized as well as Personal consumption expenditure, and Powell’s second day speech will dominate the intraday action with support at 1.22 and resistance at 1.2260 to still prefer in range trading with tight stop strategy.
USDJPY sold down in Asian session as BOJ reduces the 25 years JGB purchase from 80 Billion YEN to 70 Billion YEN headlines that driven some profit taking on YEN cross as well. The US data and stock/bond market as well as Powell 2nd day speech will direct the intraday action. With support at 106.90 and resistance at 107.50 as the current level prefer in range trading with tight stop strategy.
GBPUSD lowers down further on broad USD strength after the hawkish Powell speech with higher UST yield driven some USD demand. The US data, Powell speech and stock/bond market will have some intraday impact. And Brexit withdrawal bill from EU also out and not seeing in UK’s favor. With support at 1.3850 and resistance at 1.3940, still prefer in choppy range trading with tight stop strategy.
USDCHF grids up on broad USD strength, higher UST yield and more hawkish Powell speech overnight. Which driven some support for the pair despite of EURCHF grids down below 1.15 that might slow the move on upside. The US data, Powell 2nd day of speech as well as stock/bond market move will direct the intraday action. With support at 0.9385 and resistance at 0.9450 still to prefer in range trading with tight stop strategy.
EURJPY remain in bearish trend with price action pointing to test 1.3 handle. As the US stock lowers and fragile risk sentiment as well as lower USDJPY from earlier on headlines of BOJ cutting the 25 years JGB buying. The US data and stock/bond market move as well as Powell speech will dominate the intraday action. With support at 130 and 130.50 with resistance at 131.50 and 132.00, still to prefer keeping sell on rallies with tight stop strategy.
EURGBP lower down slightly with some selling of EUR cross in ahead of Italian election and today’s Brexit exit bill from EU as the negotiation talk still seem not that smooth for UK side and will get some support for the cross at lower side. Also Germany unemployment rate and Eurozone CPI might also have some intraday impact. With support at 0.8780 and resistance at 0.8880, still to prefer keeping buy on dips with tight stop strategy.
GOLD goes lower on broad USD strength and higher UST yield. After the reaction with hawkish Powell speech that will driven some short term speculative selling but overall move remain orderly. The Powell 2nd day speech and US Q4 GDP annualized, personal consumption expenditures as well as stock/bond market move will direct the intraday action. With support at 1313 and resistance at 1325, still to prefer in range consolidation pattern.
Silver lowers down in the same direction with GOLD. The broad USD strength with higher UST yield still add some short term pressure for the metal. Overall focusing most on short term move and the medium term price action remain constructive. The US data and stock/bond market move will have some intraday impact. With support at 16.38 and resistance at 16.70, still to prefer in range trading with tight stop strategy.