Dollar Down as Smaller Fed Hike Affirmed, But Downside Potential Limited
Action Insight Weekly Report 11-26-22
Dollar Down as Smaller Fed Hike Affirmed, But Downside Potential Limited

The expectations of a smaller Fed hike in December was affirmed by FOMC minutes last week. Dollar ended as the worst performer, following mild risk-on sentiment. Canadian Dollar was the second worst as dragged down by falling oil prices. Meanwhile, Euro was the third weakest suffering some selloff against Sterling.

Talking about the Pound, it's the best performer last week. Kiwi was second, supported by RBNZ's jumbo 75bps rate hike, followed by Aussie. The latter twos' rally was somewhat capped by uncertainties over social unrest in China.

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USD/JPY Weekly Outlook

USD/JPY's recovery ended at 142.24 after failing to sustain above 4 hour 55 EMA. But downside was contained above 137.66 support. Initial bias remains neutral this week first. Outlook stays bearish as long as 142.24 resistance holds. Break of 137.66 will resume the fall from 151.93 to 100% projection of 146.78 to 137.66 from 142.24 at 133.12, which is close to 133.07 medium term fibonacci level.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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