Markets Back in Risk on Mode, Dollar Softens Mildly
Action Insight Mid-Day Report 5-3-21

Markets Back in Risk on Mode, Dollar Softens Mildly

Markets seem to be back in mild risk on mode in Europe, shrugging off the selloff in Asia. US futures also point to higher open, as the record run could resume this week. The currency markets are relatively mixed. Yen is stabilizing into US session after earlier selloff. Dollar is also weakening mildly for the moment. For now, Swiss Franc is the weakest followed by Yen. Sterling is the strongest followed by Aussie.

Technically, Swiss Franc could be a focus this week, in particular against European majors. EUR/CHF recovered notably ahead of 1.0954 support. While it's still far away, break of 1.1073 resistance will indicate completion of consolidation pattern from 1.1149 and bring retest of this high. Similar, GBP/CHF also recovered ahead of 38.2% retracement of 1.1683 to 1.3070. Break of 1.2814 resistance will also indicate completion of the correction from 1.3070 and bring retest of this high.

In Europe, at the time of writing, DAX is up 0.75%. CAC is up 0.62%. Germany 10-year yield is up 0.0176 at -0.183. UK is on holiday. Earlier in Asia, Hong Kong HSI dropped -1.28%. Singapore Strait Times dropped -1.04%. Japan and China were on holiday.

Full Report Here

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

RBA Preview: Upgrading Economic Assessment while Pledging to Expand QE Purchases
CFTC Commitments of Traders - Traders Trimmed Bets on US Dollar
CFTC Commitments of Traders - Bets on Higher Crude Oil Price Trimmed as OPEC+ Sticks with Output Increase
Central Bank Views | China Watch | Oil N' Gold | Special Topics

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1983; (P) 1.2055; (R1) 1.2093; More....

EUR/USD recovers mildly today but overall outlook is unchanged. Consolidation pattern from 1.2149 might extend. But downside should be contained by 38.2% retracement of 1.1703 to 1.2149 at 1.1979 to bring rebound. On the upside, break of 1.2149 will resume the rise from 1.1703 to 1.2242/2348 resistance zone.

Full Report Here

EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

Recommended Readings

Swiss Franc Yawns as Manufacturing PMI Rises

Aussie Steadies After Slide, RBA Next

CAD/JPY Forecasting The Rally & Buying The Dips At The Extremes

GBP/USD Outlook: Cable Regained Traction After Friday's Nearly 1% Fall, BoE Eyed For Fresh Signals

Gold Price Climbed Above $1,765 And Is Now Forming A New Support Base

Dollar Gets A Second Wind Ahead Of ISM Data

EUR/USD Outlook: Bears Are Taking A Breather Above Key 1.20 Support

After A Challenging Month, Will The Dollar Recover?

EURUSD Absorbs Losses But Holds Above Crucial $1.20 Region

Fundamental Analysis | Technical Analysis
In-depth Reports
Fed Refrained from Giving Any Hint about QE Tapering
April FOMC: A Subtle Change In Tune
Research Germany: End of the "Era Merkel' Leaves German Politics in Unchartered Territory
BOJ Downgrades Inflation Forecasts Significantly as It Struggles with Limited Tools
Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
1:00 AUD TD Securities Inflation M/M Apr 0.40% 0.40%
6:00 EUR Germany Retail Sales M/M Mar 7.70% 3.00% 1.20%
7:30 CHF SVME PMI Apr 69.5 66.4 66.3
7:45 EUR Italy Manufacturing PMI Apr 60.7 60.9 59.8
7:50 EUR France Manufacturing PMI Apr F 58.9 59.2 59.2
7:55 EUR Germany Manufacturing PMI Apr F 66.2 66.4 66.4
8:00 EUR Eurozone Manufacturing PMI Apr F 62.9 63.3 63.3
13:30 CAD Manufacturing PMI Apr 58.5
13:45 USD Manufacturing PMI Apr F 60.6 60.6
14:00 USD ISM Manufacturing PMI Apr 65 64.7
14:00 USD ISM Manufacturing Prices Paid Apr 86 85.6
14:00 USD ISM Manufacturing Employment Index Apr 59.6
14:00 USD Construction Spending M/M Mar 2.00% -0.80%