 A holiday shortened week starts will risk-off sentiment. Selloff in notable in Japan with Nikkei back below 28k handle, while HK HSI also hits the lowest level this year. In the currency markets, Yen is currently the strongest one for today, followed by Euro and Swiss Franc. On the other hand, Aussie is the weakest, followed by Kiwi and Sterling. Overall, major currencies movements will depend on how the risk markets perform this week. Technically, we'll keep an eye on Yen crosses today. EUR/JPY and GBP/JPY are probably heading back to 127.36 and 148.94 support respectively. Break of these levels will resume larger decline. While AUD/JPY's rebound from 78.77 was relatively strong, it's also now eyeing 80.46 minor support. Break will suggest that such recovery has completed and bring retest of 78.77 low. Firm break there will also resume larger fall from 86.24. In Asia, at the time of writing, Nikkei is down -2.23%. Hong Kong HSI is down -1.20%. China Shanghai SSE is down -0.68%. Singapore Strait Times is down -1.05%. Japan 10-year JGB yield is down -0.0068. |
