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CHF and GBP are the top G10 FX gainers today, up 0.16% and 0.13% vs the dollar while AUD and USD are the top losers. The UK unemployment rate fell further unexpectedly (3.9% vs 4.0% expected) providing some support for the pound. That said, we still see short-term downside risk for Sterling as Brexit devlopments are expected. Elsewhere, JPY and CHF have caught a bid ahead of Fed interest rate meeting on Wednesday; investors expect an accommodative policy stance. In the Asian equities space, the Nikkei 225 closed down -0.8% at 21,566.85, Hang Seng closed 0.19% at 29466.28 and Kospi ended -0.09% at 2177.62. The European equities were trading firm with the FTSE up +0.37% at 7325.99, DAX up +0.59% at 11725.28, and CAC up +0.31% at 5429.36. In the rates market, global yields were trading weaker; the US 10-year yield was trading at 2.5961% and the Bund 10-year yield trading at 0.079%. In the energy space, the Brent (front month) is trading up (0.52%) for the day at $67.89.

 

Economic Calendar

 

 

10-year Yields Daily Chart (6-month)

 

 

USD-Index Daily Chart (6-month)

 

 

Brent Front Month Daily Chart (6-month)

 

 

Trade Weighted Basket Hourly (two-week)

 

 

Major Currency Pairs

 

EURUSD Chart (Two-week)

 

 

Strategy: Resistance at 1.1400 for 1.1300
Short-term view: EUR/USD resistance at 1.1400, RSI and MACD are weakening. Hence, we see a dip to 1.1300. Above 1.1400 to open 1.1450.

 

 

GBPUSD Chart (Two-week)

 

 

Strategy: Resistance at 1.3296 for 1.3096
Short-term view: GBP/USD has resistance at 1.3296, MACD and RSI are weakening Hence, we see a dip to 1.3096. Above 1.3296 to open 1.3348.

 

 

USDJPY Chart (Two-week)

 

 

Strategy: Resistance at 111.65 for 110.50
Short-term view: USD/JPY resistance at 111.65 and MACD is falling. Hence, we see a dip to 110.50. Above 111.65 to open 112.07

 

 

AUDUSD Chart (Two-week)

 

 

Strategy: Resistance at 0.7148 for .7033
Short-term view: AUD/USD resistance at 0.7148 and MACD and RSI are weakening. Hence, we expect a dip to 0.7033. Above 0.7148 to open 0.7200.

 

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