Dollar Firms Up Against ahead of Weekly Close
Action Insight Mid-Day Report 9-25-20

Dollar Firms Up Again ahead of Weekly Close

Dollar firms up again entering into US session, but it's so far held below yesterday's high against all but Swiss Franc. There is little reaction to weaker than expected growth in durable goods orders. New Zealand Dollar is surprisingly the strongest on for today, while Yen is the third. Euro is currently the weakest one for today, followed by Aussie and then Swiss Franc. Overall market sentiments turned sour in European session but there is no follow through selling at this point.

Technically, Kiwi's strength is largely thanks to cross buying against Aussie. AUD/NZD is extending the fall from 1.1043, with downside re-acceleration. Further fall is expected as long as 1.0850 resistance holds, towards 38.2% retracement of 0.9994 to 1.1043 at 1.0865. Such developments would raise the odds of EUR/AUD breaking 1.6586 resistance firmly, and AUD/CAD breaks 0.9409 support decisively.

In Europe, FTSE is currently down -0.37%. DAX is down -1.58%. CAC is down -1.56%. Germany 10-year yield is down -0.022 at -0.519. Earlier in Asia, Nikkei rose 0.51%. Hong Kong HSI dropped -0.32%. China Shanghai SSE dropped -0.12%. Singapore Strait Times rose 0.88%. Japan 10-year JGB yield rose 0.0007 to 0.011.

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USD/CHF Mid-Day Outlook

Daily Pivots: (S1) 0.9230; (P) 0.9255; (R1) 0.9294; More...

USD/CHF's rally is still in progress and intraday bias stays on the upside for the moment. Rebound from 0.8998 should target 38.2% retracement of 0.9901 to 0.8998 at 0.9343. Sustained break there will pave the way to 61.8% retracement at 0.9556. On the downside, break of 0.9215 minor support will turn intraday bias neutral and bring some consolidations first.

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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
23:50 JPY Corporate Service Price Index Y/Y Aug 1.00% 1.40% 1.20%
08:00 EUR Eurozone M3 Money Supply Y/Y Aug 9.50% 10.40% 10.20% 10.10%
11:00 GBP BoE Quarterly Bulletin
12:30 USD Durable Goods Orders Aug 0.40% 1.50% 11.40%
12:30 USD Durable Goods Orders ex-TransportAug 0.40% 1.20% 2.60%