Sterling Powers Up While Yen Accelerates Lower, Dollar Shrugs Retail Sales
Action Insight Mid-Day Report 10-15-21

Sterling Powers Up While Yen Accelerates Lower, Dollar Shrugs Retail Sales

Sterling steals the show today breaking through key resistance levels the Japanese Yen, and a near term low against Euro too. Dollar is trying to strengthen against Euro and Swiss Franc on strong retail sales, but momentum is sluggish elsewhere. There is no change in the selloff in Yen, just some more accelerations. Aussie and Kiwi are firm and are both set to end the week as the best performers.

Technically, NZD/JPY has finally taken out 80.17 high to resume the up trend from 59.49. Next target is 61.8 projection of 59.49 to 80.17 from 74.54 at 87.32. We'd see when AUD/JPY would follow and break through 85.78 high eventually.

In Europe, at the time of writing, FTSE is up 0.28%. DAX is up 0.52%. CAC is up 0.42%. Germany 10-year yield is up 0.0293 at -0.157. Earlier in Asia, Nikkei rose 1.81%. Hong Kong HSI rose 1.48%. China Shanghai SSE rose 0.40%. Singapore Strait Times rose 0.29%. Japan 10-year JGB yield dropped -0.0048 to 0.081.

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GBP/JPY Mid-Day Outlook

Daily Pivots: (S1) 154.80; (P) 155.27; (R1) 155.91; More...

GBP/JPY accelerates up to as high as 157.16 so far today. The break of 156.05/59 key resistance zone confirms resumption of medium term up trend from 123.94. Intraday bias stays on the upside for 61.8% projection of 136.96 to 156.05 from 148.93 at 160.72. On the downside, below 155.32 minor support will turn intraday bias neutral and bring consolidations first, before staging another rally.

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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 NZD BusinessNZ Manufacturing Index Sep 51.4 40.1
04:30 JPY Tertiary Industry Index M/M Aug -1.70% -0.30% -0.60%
09:00 EUR Eurozone Trade Balance (EUR) Aug 11.1B 15.3B 13.4B 13.5B
12:30 USD Empire State Manufacturing Index Oct 19.8 27.8 34.3
12:30 USD Retail Sales M/M Sep 0.70% -0.20% 0.70% 0.90%
12:30 USD Retail Sales ex Autos M/M Sep 0.80% 0.40% 1.80% 2.00%
12:30 USD Import Price Index M/M Sep 0.40% 0.50% -0.30%
14:00 USD Michigan Consumer Sentiment Index Oct F 73.5 72.8
14:00 USD Business Inventories Aug 0.70% 0.50%