Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
EURUSD slightly lower in overnight trading
Information is not investment advice
Ichimoku Kinko Hyo
USD/JPY: The USD/JPY pair has just surpassed the Kijun sen level. Further increase of the market will trigger the currency pair towards the lower level of the Kumo. Alternatively, if the bears manage to withhold the bulls’ pressure the exchange rate will eliminate the Tenkan sen level with immediate target the previous low.
Regarding COVID-19, Germany imposed new restrictions yesterday, with those unvaccinated barred from restaurants, cinemas, and many shops. Vaccinations could be made mandatory from February according to the chancellor.
In the equity space, the risk-off sentiment in Europe turned into a rebound session in the US. Cyclical value stocks led the way, with energy stocks, industrials, and banks among the best performers, while defensives underperformed. Major indices in the U.S. closed as follows: S&P500 higher 1.4%, Dow Jones higher by 1.8%, and NASDAQ 0.8%. VIX edged lower but remains very elevated. Asian markets are mostly following this morning albeit Chinese tech stocks are getting hammered. US futures are pointing slightly upward.
Oil prices have climbed as well from the initial drop yesterday following OPEC’s surprise decision to go ahead with the planned 400kb/d output increase in January. Brent oil trades above 70USD/barrel again similar to the level prior to the decision.
EURUSD slightly lower in overnight trading while in the EM space the TRY continues to trade near ATL levels.
In the middle of September 2022, the Canadian dollar has fallen to a 2-year low against the USD.
The US dollar index has all chances of reaching the 2000s high of 120.00.
Many investors treated gold as a protection against inflation. However, last week, gold lost its major support and dropped despite rising inflation. Why did it act like this?