There was little to report today in the major FX pairs, though we did see key tests of support for GBP In EURGBP, GBPUSD and GBPJPY after in-line production figures today — so this could be an area where GBP makes a stand. I highlight the GBPJPY chart below. Elsewhere, the G10 smalls did okay today, quite surprisingly in the case of the AUD considering the meltdown in iron ore prices and copper prices in China to start the week. CAD also pushed back within the shrinking USDCAD range outline yesterday. The Scandies are on the move and looking strong against the Euro, with tests of the 200-day moving average in both EURNOK and EURSEK possibly in the cards here in the days ahead.
Today's FX Board (Still in beta and note that yesterday's values for gold and silver were wrong and are now corrected). See yesterday's post for a description of the various fields in the new FX Board.
FX Board - Trend Heat and Overall G10 FX Trends
The Trend Heat hasn't changed much from yesterday in most cases. The uptick in silver looks less impressive today than the 1-day delta suggests because the rally has faded from midday highs as this is being written. The JPY remains the weakest currency, with sterling and CAD fighting it out for second place, though both of those currencies made a bit of a comeback today from their lows today and yesterday, respectively.
Overall G10 Short- and Medium-Term Trends
Charts:
Three chart highlights today: EURGBP, GBPJPY and XAGUSD (spot silver).
Chart: EURGBP
Found resistance at the top of the recent range. It's hard to build an argument for sustainably higher levels from here with the European Central Bank (ECB) still possibly in easing mode further out while the Bank of England (BoE) is in a holding pattern.
Chart: GBPJPY
GBPJPY made a very technical test of local support after the break higher, which offers an interesting area for bulls to try for an extension higher if today's lows hold.
Chart: XAGUSD
Silver continues to keep us guessing as today's bullish reversal attempt hasn't offered any exclamation point of credibility — would have been better to see a snappy close into 21.50 plus , so we continue to wait for either that or a move below yesterday's lows/20.50 for the next directional signal.
