 Yen and Dollar are currently the weakest ones for the week, but both are bounded inside last week's range against most other currencies. The development is in line with the stock markets, where major US indexes closed higher overnight, but stayed in range too. Australian and New Zealand Dollar are currently the strongest ones for the week. The question is whether range breakouts would happen before new year, or after. Technically, AUD/USD's rebound from 0.6992 looks set to resume through 0.7223. Break there and sustained trading above 55 day EMA (now at 0.7238) will be a first step towards bluishness trend reversal. At the same time, we'll also monitor the development in EUR/AUD. Break of 1.5655 temporary low will resume the fall from 1.6168. More importantly, the could open up the case for falling further towards key support zone between 1.5250/5354, with prospect of medium term down trend resumption. It would be a rather bullish sign if both happens to the Aussie. In Asia, at the time of writing, Nikkei is up 0.51%. Hong Kong HSI is up 0.16%. China Shanghai SSE is up 0.13%. Singapore Strait Times is up 0.24%. Japan 10-year JGB yield is up 0.0002 at 0.063. Overnight, DOW rose 0.74%. S&P 500 rose 1.02%. NASDAQ rose 1.18%. 10-year yield dropped -0.030 to 1.457. |
