It proved to be a strange day in the FX markets yesterday, the early sessions were characterized by a very weak sterling – something that we were expecting. In the late session we were expecting for the USD to wrestle back some of the initiative that it lost during the week and this just never materialized, not even some hawkish jawboning from some of the talking Fed officials could nudge the greenback out of its slumber.
Dean's Daily FX Update – 10 January 2017
In the Zone
- GBPUSD
- AUDUSD
- USDCAD
Recap
The EURUSD was choppy with price trading as low as 1.0520, it did have a brief attempt to break through the top side monthly pivot at 1.0580 but it failed again. Price looks as though it wants to attempt another test of this upside level – another failure here will leave the sellers firmly in control.
Cable, as anticipated was rather weak with price trading as low as 1.2110 yesterday, it did find some swift support down at those levels and did trade higher to 1.2180. Price was rather jaded and there was a lot of sideways movement in this pair. Prime Minister May is trying desperately hard to extinguish the fires and assure the Brits that there will be positive terms negotiated in “Brexit.” This pair may be difficult to trade in the in the short term as headlines are bound to move this pair.
The USDCAD was mightily impressive yesterday, the oil prices plummeted by over 4% and the loonie still managed to tread water. The catalyst for this was the better than expected BOC Business Investment Survey, 1.3195 seems to be the bottom for now and I suspect that the greenback could start to eat away at those profits tonight.
Daily Ranges 10/01/2017
Majors
EURUSD
Resistance 1.0600 – 1.0620
Support 1.0510 – 1.0500
GBPUSD
Resistance 1.2268 – 1.2288
Support 1.2160 – 1.2140
AUDUSD
Resistance 0.7380 – 0.7400
Support 0.7310– 0.7300
NZDUSD
Resistance 0.7050 – 0.7080
Support 0.6960 – 0.6940
USDCAD
Resistance 1.3260 – 1.3280
Support 1.3220 – 1.3190
USDJPY
Resistance 117.00 – 117.25
Support 115.20 – 115.00
USDCHF
Resistance 1.0187 – 1.0200
Support 1.0117 – 1.0110
Rand
USDZAR
Resistance 13.7559 – 13.7850
Support 13.6200 – 13.5890
EURZAR
Resistance 14.4955 – 14.5220
Support 14.3860 – 14.3500
GBPZAR
Resistance 16.7620 – 16.7890
Support 16.5000 – 16.4397
Minors
AUDCAD
Resistance 0.9740 – 0.9760
Support 0.9670 – 0.9650
AUDJPY
Resistance 85.84 – 86.00
Support 85.19 – 85.00
EURCHF
Resistance 1.0740 – 1.0750
Support 1.0700 – 1.0690
EURGBP
Resistance 0.8730 – 0.8780
Support 0.8620 – 0.8600
EURJPY
Resistance 123.30 – 123.50
Support 122.40 – 122.10
GBPJPY
Resistance 142.50 – 142.90
Support 140.30 – 140.00
GBPCAD
Resistance 1.6190 – 1.6210
Support 1.6030 – 1.6000
GBPCHF
Resistance 1.2425 – 1.2445
Support 1.2300 – 1.2280
Indices
DE30
Resistance 11600 – 11650
Support 11520 – 11500
UK100
Resistance 7200 – 7250
Support 7180 – 7150
US500
Resistance 2270 – 2300
Support 2260 – 2220
US30
Resistance 19950 – 20000
Support 19865 – 19820
SA40
Resistance 44900 – 45000
Support 44200 – 44000
Commodities
BRENT
Resistance 56.70 – 56.90
Support 55.10 – 54.70
XAUUSD
Resistance 1187.09 – 1200.00
Support 1175.00 – 1165.20
XAGUSD
Resistance 16.60 – 16.80
Support 16.28 – 16.00
Important Economic Data out today
- 11:30 GBP Manufacturing Production
- 17:30 USD Crude Oil Inventories
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