Dollar and Yen Rise Against as US Futures Dive, EUR/USD Ready for Downside Breakout?
Action Insight Mid-Day Report 1-25-22

Dollar and Yen Rise Against as US Futures Dive, EUR/USD Ready for Downside Breakout?

Dollar and Yen rise again today as US futures point to sharply lower open. Yesterday's strong U-turn seems lacking momentum to extend. But selling focus has somewhat turned to European session, with Swiss Franc leading the way lower. Commodity currencies, except Kiwi, are mixed. In other markets, Gold is staying in tight range above 1830. WTI crude oil is in range above 83. Bitcoin is also consolidation around 36k.

Technically, EUR/USD's break of 1.1284 support now suggests that larger down trend from 1.2348 is probably ready to resume through 1.1185 low. We'll now see USD/JPY would break through 115.05 minor resistance to reflect Dollar strength. Or it will break through 113.47 to indicate Yen strength, which could be see in downside acceleration in EUR/JPY in this case.

In Europe, at the time of writing, FTSE is up 0.96%. DAX is up 0.55%. CAC is up 0.89%. Germany 10-year yield is up 0.0218 at -0.084. Earlier in Asia, Nikkei dropped -1.66%. Hong Kong HSI dropped -1.67%. China Shanghai SSE dropped -0.258%. Singapore Strait Times dropped -1.08%. Japan 10-year JGB yield rose 0.0018 to 0.141.

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

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1296; (P) 1.1321; (R1) 1.1350; More...

EUR/USD's break of 1.1284 support how argues that corrective rebound from 1.1185 has completed at 1.1482. Intraday bias is back on the downside for 1.1185 first. Firm break there will resume larger down trend from 1.2348 to 61.8% projection of 1.1908 to 1.1185 from 1.1482 at 1.1035. On the upside, above 1.1368 minor resistance will turn intraday bias back to the upside, and extend the consolidation from 1.1185 with another rise.

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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
00:30 AUD NAB Business Confidence Dec -12 12
00:30 AUD NAB Business Conditions Dec 8 12
00:30 AUD CPI Q/Q Q4 1.30% 1.00% 0.80%
00:30 AUD CPI Y/Y Q4 3.50% 3.20% 3.00%
00:30 AUD RBA Trimmed Mean CPI Q/Q Q4 1.00% 0.70% 0.70%
00:30 AUD RBA Trimmed Mean CPI Y/Y Q4 2.60% 2.40% 2.10%
07:00 GBP Public Sector Net Borrowing (GBP) Dec 16.1B 14.5B 16.6B 14.0B
09:00 EUR Germany IFO Business Climate Jan 95.7 94.7 94.7 94.8
09:00 EUR Germany IFO Current Assessment Jan 96.1 96.1 96.9
09:00 EUR Germany IFO Expectations Jan 95.2 93 92.6 92.7
14:00 USD S&P/Case-Shiller Home Price Indices Y/Y Nov 17.80% 18.40%
14:00 USD Housing Price Index M/M Nov 1.00% 1.10%
15:00 USD Consumer Confidence Jan 112.3 115.8