Markets in Quiet Mode, Awaiting US Job Data
Action Insight Daily Report 8-5-22

Markets in Quiet Mode, Awaiting US Job Data

The currency markets are quiet overall as focus now turns to US job data. The post BoE selloff in Sterling didn't last long. Meanwhile, Dollar is still range bound against Euro and Yen. The greenback's rally attempt against Swiss Franc also faltered rather quickly. Commodity currencies are steady. Most major pairs and crosses are stuck inside last week's range. Hopefully, today's non-farm payroll will bring some life back to the markets.

Technically, the development in US stock markets, in reaction to NFP, could be the leading factor in other markets. S&P 500 has been making some progress in securing a near term bullish reversal. Immediate focus will be on 4177.51 resistance. Strong break there and a weekly close above should confirm that whole correction from 4818.52 has completed with three waves down to 3636.87. That would set the stage for more upside in SPX for the rest of Q3, and set the risk-on tone which would give Dollar and Yen some extended pressure.

In Asia, Nikkei closed up 0.85%. Hong Kong HSI is up 0.25%. China Shanghai SSE is up 0.59%. Singapore Strait Times is up 0.30%. Japan 10-year JGB yield is down -0.0084 at 0.167. Overnight, DOW dropped -0.26%. S&P 500 dropped -0.08%. NASDAQ rose 0.41%. 10-year yield dropped -0.072 to 2.676.

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Top Movers | HeatMap | Pivot Points | Pivot Meters | Action Bias | Vol

EUR/USD Daily Outlook

Daily Pivots: (S1) 1.0183; (P) 1.0219; (R1) 1.0282; More...

Range trading continues in EUR/USD and intraday bias remains neutral. With 1.0095 minor support intact, further rise is still mildly in favor. Rebound from 0.9951 will target 1.0348 support turned resistance. Break there will target channel resistance at 1.0432. On the downside, break of 1.0095 minor support will turn bias back to the downside, and bring retest of 0.9951 low instead.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
22:30 AUD AiG Performance of Services Index Jul 51.7 48.8
23:30 JPY Labor Cash Earnings Y/Y Jun 2.20% 1.90% 1.00%
23:30 JPY Overall Household Spending Y/Y Jun 3.50% 1.50% -0.50%
05:00 JPY Leading Economic Index JunP 100.6 101.2 101.2
06:00 EUR Germany Industrial Production M/M Jun 0.40% -0.20% 0.20%
06:45 EUR France Trade Balance (EUR) Jun -12.3B -13.0B
08:00 EUR Italy Industrial Output M/M Jun -0.30% -1.10%
12:30 USD Nonfarm Payrolls Jul 250K 372K
12:30 USD Unemployment Rate Jul 3.60% 3.60%
12:30 USD Average Hourly Earnings M/M Jul 0.30% 0.30%
12:30 CAD Net Change in Employment Jul 25.0K -43.2K
12:30 CAD Unemployment Rate Jul 5.00% 4.90%
14:00 CAD Ivey PMI Jul 60.3 62.2