Currency Updates:
AUD/USD
• Choppy European after pair fails to clear 0.7840 & gets pushed near 0.7790
• Erratic action early NY as pair torn between firm US & rallying commodities
• USD lift abates & reverses, AUD/USD spikes & runs stops above 0.7850
• New trend high (0.7873) hit & little pullback, near 0.7860 late in day
• Techs are bullish & yield spreads bolster view, March high test likely
• Monthly close >0.7939 a bullish engulfing candle, more bull fodder
EUR/USD
• Pair pressured in Europe morning on ongoing Greek concerns & USD rally
• Early NY tests sub-1.0820, turns as USD slides & Greek fears abate a bit
• Sharp USD drop & US yield slip aid EUR/USD spike, stops >1.0900 hit
• 76.4 Fib of 1.1036-1.0521 pierced & 55-DMA neared as 1.0927 high hit
• Late day slip on USD bounce sees sub-1.0890 towards Ny close
• Techs & spreads support gains; If Fed dovish March high might break
USD/JPY
• Yen weaker v all majors save for the CHF; latter sold on Varoufakis news
• High betas beating the low beta CCYs, even GBP/JPY up pre UK election
• EUR/JPY eyes Cloud base at 130.43; firm above Kijun at 128.80
• US-Japan defense pact expanded & more formalized today
• Soft 2nd-tier US data & 50% Fibo at 119.43 cap USD/JPY bounce
• Cloud base at 118.94 key on close.
Looking Ahead – Economic Data (GMT)
• 23:50 JP Retail Sales YY Mar -7.3%, -1.8%-prev
Looking Ahead – Events, Other Releases (GMT)
• 22:40 AU RBA Gov Stevens speaks at Australian Finc’l Review Banking & Wealth Summit
