Well as expected, market reaction was pretty wild in USD/JPY, AUD/USD and USD/CAD, but with much better than expected news, yen lost ground while aussie and cad, posted fresh weekly highs, and at this point give no signs of reversing or correcting. Still we have US PMI in about 10 minutes, another good market mover.
Anyway! here is the hourly perspective updated for the US session:
The employment private survey come out showing a very negative reading, announcing a 10K lost of job positions in the US after past month reading of an increasing 40K and an expected 20K rise. Data is triggering some risk aversion as stocks fall, while USD/JPY first to react, approached to 83.60 support. Euro holds around 1.2800, let’s see what happens after this first spike.
I guest hosted CNBC Asia for 2 hours last week. If you missed the videos, the calls are still relevant:
Possibility of Yen Intervention
I like CHF/JPY
Talking about possibility of additional stimulus pre Jackson Hole
US Durable Goods Orders come out much worse than expected at 0.3% against a 2.9% increase expected, while previous month reading was also revised to the downside to -1.2%, while core orders printed aterrible -3.8% and previous reading was also revised down to -0.9%. US stocks are crashing with the readings, and USD/JPY will probably follow. Euro and Pound are not reacting yet, but with this negative dollar data, will likely start a limited rise as at this point, no much strength in seen in any. Cad and Aud are accelerating loses against greenback.
Summary
| Target Level | 86.181363 | |
| Target Period | 2 hours | |
| Stop Level | 86.44 |
Analysis
Rising Wedge has broken through the support line at 05-Aug 01:00 GMT. Possible bearish price movement forecast towards 86.181363 which is the 60-minute entry for a swing buy
Supporting Indicators
RSI above 60.0
Resistance Levels
| (B) | 86.44 | Last resistance turning point of Rising Wedge. |
Support Levels
| (A) | 86.23 | Last support turning point of Rising Wedge. |
