EUR/USD: Dominated by Sovereign flows; MAs provide technical support
- ACBs reported selling rallies as reserve re-balancing continues post USD/AXJ intervention;
- Sovereign wealth funds noted buyers on dips;
- 100 and 200-day MAs providing technical support levels 1.3135/45;
- EUR remains soft on crosses especially against AUD and GBP;
- EUR/GBP large barrier at .8400 could prove magnetic.
Hi Sean,
I have not looked on loonie for almost half a year. Today while flipping through monthly charts it literally shocked me. It looks like it is getting ready to roll over in a major way (again it is a monthlies, so caution is warranted) but I think I will start building short CAD/USD position…. If it clears 1.06 region it could start moving.
Another peculiar formation is CHF/JPY, it is not far from 20 years high, but most probably is not yet ready for countertrade.
Cheers
Kirill