Euro Shrugs Improve German Sentiment, Yen Stays Firm
Action Insight Mid-Day Report 11-9-21

Euro Shrugs Improve German Sentiment, Yen Stays Firm

Yen stays general firm after earlier rally today, and Dollar is following. Euro shrugs off better than expected German economic sentiment data. Sterling and Swiss Franc are mixed. Australian and New Zealand Dollar are currently the weakest. Gold is firm but there is no follow through buying through 1833.79 key resistance. WTI oil treads water at around 82 handle. A focus is whether benchmark yields in US and Europe would extend recent decline.

Technically, EUR/CHF would be a pair to watch today as it's struggling to extend rebound from 1.0532. Yet, break of 1.0602 resistance will indicate short term bottoming, and should bring stronger rise back to 1.0678 support turned resistance. If happens, that might help lift EUR/USD through 1.1615 minor resistance to 1.1691 near term resistance level.

In Europe, at the time of writing, FTSE is down -0.06%. DAX is up 0.19%. CAC is up 0.23%. Germany 10-year yield is down -0.039 at -0.282. Earlier in Asia, Nikkei dropped -0.75%. Hong Kong HSI rose 0.20%. China Shanghai SSE rose 0.24%. Singapore Strait Times dropped -0.63%. Japan 10-year JGB yield rose 0.0048 to 0.066.

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EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1561; (P) 1.1578; (R1) 1.1605; More...

EUR/USD is still staying in range of 1.1512/1615 and intraday bias remains neutral. Further decline is in favor as long as 1.1615 minor resistance holds. Break of 1.1512 will extend the pattern from 1.2348 to 61.8% projection of 1.1908 to 1.1523 from 1.1691 at 1.1453. Break will pave the way to 100% projection at 1.1306. On the upside, though, above 1.1615 minor resistance will dampen the bearish case and turn bias back to the upside for 1.1691 resistance.

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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
23:30 JPY Labor Cash Earnings Y/Y Sep 0.20% 0.60% 0.70% 0.60%
23:50 JPY Bank Lending Y/Y Oct 0.90% 0.70% 0.60%
23:50 JPY Current Account (JPY) Sep 0.76T 0.85T 1.04T 0.88T
00:01 GBP BRC Like-For-Like Retail Sales Y/Y Oct -0.20% -0.60%
00:30 AUD NAB Business Confidence Oct 21 13 10
00:30 AUD NAB Business Conditions Oct 11 5
07:00 EUR Germany Trade Balance (EUR) Sep 13.2B 14.2B 13.0B
07:45 EUR France Trade Balance (EUR) Sep -6.8B -7.0B -6.7B
10:00 EUR Germany ZEW Economic Sentiment Nov 31.7 20.3 22.3
10:00 EUR Germany ZEW Current Situation Nov 12.5 19.4 21.6
10:00 EUR Eurozone ZEW Economic Sentiment Nov 25.9 20.6 21
11:00 USD NFIB Business Optimism Index Oct 98.2 98.6 99.1
13:30 USD PPI M/M Oct 0.60% 0.50% 0.50%
13:30 USD PPI Y/Y Oct 8.60% 8.70% 8.60%
13:30 USD PPI Core M/M Oct 0.40% 0.50% 0.20%
13:30 USD PPI Core Y/Y Oct 6.80% 6.80% 6.80%