EUR/USD breakout points are located at rising 1.0618, 1.0672 and falling 1.0727 meanwhile GBP/USD sits on massive support points at falling 1.2379, stuck 1.2420 and rising 1.2461.
AUD/USD is in its typical dead ranges from 0.7529, 0.7600 and 0.7648 while EUR/JPY and GBP/JPY sit below falling 119.49 and 120.34 and GBP/JPY at dropping 138.83 and 140.06.
USD/JPY adds to the range mix as break outs are located at falling 111.44, 112.11 and 112.79. The sanity is found within signal pair to the majors NZD/USD as its oversold and current bottom today at 0.6936 won’t be seen. NZD is most comfortable in its Distribution at 0.7005 and 0.7008. Break out points at falling 0.7064 and 0.7083 informs overall currency markets on the downside will see a slow slow grind.
What looms for EUR/USD on the upside break out at 1.0727 is 1.0738 and 1.0743 then a shot exists to 1.0797 and 1.0802. The downside is solid on the 1.0544 base and its rising yet 1.0618 break is strong but its the break to see further downsides in days ahead.
European interest rates warned Monday range conditions would remain as the ECB restricted EUR/USD’s daily range movements. USD interest rates finally normalized yesterday from the massive 0.91 to 0.82 drop Monday. Fed Funds again trades at 0.91. Fed Funds 0.91 was mandatory to normalize as GBP Gilt Repos threathened to trade in negative territory at staggering 0.01. In the past 20 years, not Sonia nor GBP Repos ever traded to negative and current 0.01 is the lowest rate ever recorded.
What currency pair by another name, WTI informed at yesterda’s close was today would become another range day and the USD 2 year yield near its 2 month lows at 1.24 informs as well range conditions will persist. WTI won’t travel beyond its vital point at 51.44. Overall, the impetus for any breakouts must materialize from the USD side.
What we’re looking at today for EUR/USD is sell points at 1.0696 to 1.0705 and target back to below 1.0672 to 1.0643.