Jury still out as the week draws to a close
Friday 4 December 2020
Variable risk and USD sentiment amid new comments from both Miden and McConnell on the US stimulus package plus equally variable Brexit and ECB headlines have seen some good two-way business again over the past 24 hours.
GBPUSD has been up to test 1.3500 helped by the softer USD and EURGBP falling amid some positive Brexit vibes but since back down to support lines around 1.3430 and now breaking lower as I type. EURGBP fell on the GBP rally but held at 0.9000 and now back up through 0.9060 as GBP takes an early hit. GBPJPY has failed again, this time into the previously higher 140.30 area with core pairs both finding rally sellers and now testing 139.50 amid variable risk sentiment and Brexit headlines.
I stay poised to sell GBP rallies as my preferred side and buy back in the dips as ever.Patience continues to be a virtue and rally-selling in GBPUSD is still bringing some reward but entry level key as always. Definitely still expecting dip demand as I've warned for a while now. Brexit still the large elephant in the room.
USDJPY has held the 103.65 support area and now testing 104.00 again amid some USD demand currently. EURJPY still has some solid support at 126.00 as I highlighted yesterday as core pairs continue to find support/demand and now testing 126.60 again this morning. EURUSD continues to find dip demand, this time at 1.2130-40, after equally finding sellers above 1.2175 yesterday. USDCHF once again bore the brunt of the EURUSD rally and fell through 0.8900 with EURCHF underpinned with the SNB still ever watchful.
AUDUSD capped into 0.7450 but support coming in 0.7400-10 still while USDCAD failed at 1.2940 this time around and now testing 1.2850 on the firmer risk tones/CADJPY demand with oil price underpinned.
Markets are ever-fickle so don't forget to take contact me if there's areas that you might need some further help with.
The currently troubled Shrimpers return home tomorrow facing a must-win situation against fellow strugglers Stevenage. We will keep believing.
Let's continue to be careful out there in all things. Staying safe must be our main priority still. Have a great week-end.
Interbank rates: 08.28 GMT