Forex pairs ranging tightly again
Monday 26 July 2021
Some variable risk tones as European trading gets underway but all ranging very tightly still as markets remain cautious.
BOE's Vlieghe speaks at 11.00 GMT. Focus this week is on the latest FOMC decision and presser on Wednesday but a raft of data out too meanwhile.
Patience and discipline in trading are key as ever and not being greedy even with some greater levels of intra-day volatility returning. Still some good two-way pips to be had amid the mayhem so picking your moment and levels is more important than ever.
Heads up that tomorrow will be my last update this week as I'm heading away for a few days break, to celebrate my girlfriend's birthday. Possibly cutting into a bit of next week too but will let you know.
GBPUSD: 1.3780 still providing a cap but equally supported at 1.3720 with some pips banked in the retreat and now basing at 1.3740. I remain a rally seller while keeping an eye on EURGBP and GBPJPY as always.EURGBP: 0.8540 still holding the retreats but can't climb back over 0.8580 as we continue to tange tightly on core pairs too.GBPJPY: 151.40 now a decent base as core pairs find dip demand still after sellers at 152.20 provided a good cap.
I remain a GBP rally seller across the pairs but being patient as ever. These are risk sentiment markets and ever fickle so good/tight position management essential.
EURUSD: 1.1750-60 still holding again but a cap now at 1.1800 this morning. Cross flows making an impact still to keep the range contained.USDJPY: 110.00-10 still providing good support amid the generally firmer risk tones and large bids after a cap at 110.60.EURJPY: 129.70 providing a platform now after a cap at the old resistance line of 130.20 still.USDCHF: 0.9170 holding as EURUSD caps at 1.1800 but with EURCHF holding 1.0815-20 again with the SNB ever vigilant. EURCHF: A good hold of 1.0810 this time with SNB shadow/help ever present after rally sellers prevailing at 1.0840 again.
AUDUSD: A good cap at 0.7375-80 but finding support at 0.7330 amid the variable risk tones and some option interest today.USDCAD: Capping at 1.2600 again but holding 1.2560 so far amid the variable oil/CADJPY impact.
Let's continue to be careful out there in all things. Staying safe must be our main priority still.
Interbank rates: 08.50 BST