Softer Greenback tones notable again
Tuesday 15 September 2020
It's Tuesday and after a day of variable FX action we're seeing some US supply again as markets continue to range overall ahead of tomorrow's latest FOMC decision.
The UK IMB got through its first reading in Parliament but there's still a battle to come before getting passed completely. Better than expected UK jobs data earlier but all relative right now as the true COVID picture is yet to be revealed as everywhere.
GBPUSD has had a look down at 1.2800 after failing above 1.2900 but now enjoying the USD selling to test 1.2900 again. EURGBP held 0.9200 as per the support I highlighted yesterday but failing above 0.9250 again. GBPJPY has capped at 136.60 but equally finding support at 135.40.
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 entry level key as always. I still expect to continue seeing dip demand though.
USDJPY range now 105.50-00 after another retreat amid softer risk/USD combo. EURJPY has bids at 125.30 now after failinbg into 126.00.EURUSD has good support at 1.1850 again helped by large option expiries today but sellers poised arpound 1.1900 still.USDCHF failed into 0.9100 and since tested 0.9050 amid the EURUSD rally/softer USD.
AUDUSD on the rise again after holding 0.7250 amid the general USD selling and some better Chinese data to post 0.7335. USDCAD failed into 1.3200 but basing at 1.3130 as we continue to range.
Markets are ever-fickle so don't forget to contact me if there's areas of trading these markets that you might need some further help with.
Let's continue to be careful out there in all things. Staying safe must be our main priority still.
Interbank rates: 08.55 BST