Greenback trades again to little modified as markets stay tentative

There are nonetheless a few key technical developments to be cautious about this week although. So, whereas the strikes right now are gentle, it doesn’t suggest that they do not maintain a lot significance.

1. EUR/USD broke beneath its 100-day shifting common of 1.0783, eyes December low of 1.0723;
2. GBP/USD broke beneath its 200-day shifting common of 1.2560, frees up house in the direction of 1.2500;
3. USD/JPY contests the highs for the yr close to 148.80 amid post-NFP rebound in yields;
4. USD/CAD checks January excessive of 1.3541 with 100-day shifting common of 1.3555 close by;
5. AUD/USD hugs 0.6500 once more post-RBA however may eye additional draw back after break of 100-day shifting common of 0.6531.

The general temper in broader markets appears extra tentative to this point right now. US futures at the moment are flattish and that’s leading to European shares being little modified on the day as properly. As for the bond market, the promoting is taking a slight breather for now. 10-year yields within the US are down 1.6 bps to 4.148% however off earlier lows of 4.123% not less than.