Euro Looks Forward to ECB, Canadian Dollar Rebounds With Oil Price
Action Insight Daily Report 7-22-21

Euro Looks Forward to ECB, Canadian Dollar Rebounds With Oil Price

Dollar and Yen lost their position as the strongest ones as US stocks staged another day of massive rebound overnight, together with treasury yields. On the other hand, Canadian Dollar is currently the best performer for the week, helped by WTI crude oil's reclaim of 70 handle. But Aussie and Kiwi remain the weakest at this point. Euro is mixed, as markets await ECB's new forward guidance and press conference.

Technically, we'd pay some attention to EUR/CHF to guide the assessment on Euro's next move. It was rejected twice by 4 hour 55 EMA, affirming near term bearishness. Break of 1.0802 temporary low will resume larger fall from 1.1149 towards 1.0737 support. That could also drag EUR/USD down in spite of its own weak downside momentum.

In Asia, Japan is on holiday. Hong Kong HSI is up 1.76% at the time of writing. China Shanghai SSE is up 0.25%. Singapore Strait Times is up 1.40%. Overnight, DOW rose 0.83%. S&P 500 rose 0.82%. NASDAQ rose 0.92%. 10-year yield rose 0.071 to 1.280.

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USD/CAD Daily Outlook

Daily Pivots: (S1) 1.2481; (P) 1.2606; (R1) 1.2685; More...

USD/CAD's pull back from 1.2805 extends lower but stays above 1.2485 resistance turned support. Intraday bias remains neutral first. Further rise is still in favor. Break of 1.2805 will extend the rise from 1.2005 to 1.3022 medium term fibonacci level next. On the downside, however, break of 1.2485 will bring deeper fall back to next cluster support at 1.2301 (61.8% retracement of 1.2005 to 1.2805 at 1.2311).

Full Report Here

EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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