Stocks, oil, and risk currencies gained on Tuesday as the formal go-ahead for US President-elect Joe Biden to begin his transition burnished a November already boosted by Covid-19 vaccines.
USD/JPY tested support
Information is not investment advice
USD/JPY has returned below the 50-day MA as the market’s risk aversion increased. It seems that the market has formed an interim top. At the same time, the pair has reached a short-term support line from the start of May. The decline below 106.75 (50-day MA on the H4) will open the way down to 106.40. The pair needs to return above 107.05 to be able to target 107.55 once again. Comments of the Fed’s Chair Powell at 16:00 MT time will likely keep the volatility elevated.
Trade idea for USD/JPY
BUY 107.15; TP 107.55; SL 107.00
SELL 106.70; TP 106.40; SL 106.85
EUR/USD fell below 1.1850 after reaching 1.1920 on Monday. The pair consolidated after the initial bearish move.
USD/CAD remains within a downtrend. As a result, selling the pair as it turns down from resistance is the best strategy. Support lies at 1.3125.
U.S. stocks are seen opening mixed Thursday, pausing around record highs as investors await more fresh news on Covid-19 vaccines and potential fiscal stimulus.
A tentative mood was seen in Asia-Pacific bourses following the flat performance on Wall Street, whilst Chinese Caixin Services PMI printed its second-highest reading in a decade.
EUR/AUD rose to 1…