Trader Talk

USDX: 90.120

Notably, hawkish comments made by Hansson from European Central Bank (ECB) “the euro’s appreciation at this point was not a cause for concern in terms of depressing inflation.” provokes a rally. Market, however, takes on sidelines waiting for The ECB reviews monetary policy on 25 January.

On top of that, U.S. dollar index continues to trade on yearly low, and no signal of a resurgent comes into sight when market is still digesting the 10-year U.S. Treasury bond yield first on top of 2.50% pivotal point.

Support: 88.5

Resistance: 91.45

USD JPY: 110.478

The appreciation of Japanese yen edges up roughly 0.6 percent, which sparks a new low for USDJPY since September 2017. Much of the movements account for the counter currency (JPY) when the U.S. market is closed. (Martin Luther King Jr. Holiday) Only a retracement appeared at 111.2 and such quote cannot negate the bearish outlook and may provoke a new low.

Support: 109.9

Resistance: 111.2

EUR USD: 1.22642

As dollar index approaching its lowest level in addition with greenback remains under siege for consecutive 4 weeks, bullish view in market prevails. Plus, such outlook is reinforced with the commentary made by J.P. Morgan analysts John Normand and Gianluca Salford “euro is roughly 5% lower than it should be”.

Support: 1.222

Resistance: 1.236

GBP USD: 1.3796

Short covering spike pushes dollar to continue its sell-off on the first trading day of the week. UK CPI is scheduled to release on this Tuesday and consensus forecast ranged from 3.0% to 3.1%. (y/y). With Brexit effect gradually winding down, the reemphasize of the fundamentals in sterling will see to its new key data release in the near term.

Support: 1.374

Resistance: 1.399

AUD USD: 0.7981

AUDUSD continues to rally and tacks on gains after American session, reaches the highest level since September 2017. No indication of a correction shows up, and the commodity currency remains low exposure and appears to be headed on an uptrend wagon toward the resistance level at 0.8000 level.

Support: 0.793

Resistance: 0.8

NZD USD: 0.7299

NZDUSD has robust performance even against strong AUD, shows a 0.2% more incremental gain. AUD/NZD rebounded around 1.0900/10. Boosted by dollar sell-off, steady gains still lie ahead heated by solid advances in commodities.

Support: 0.72

Resistance: 0.733

USD CAD: 1.2427

The USDCAD failed to recover ground and declines back to test 1.2400 level, still attributable to further weakening USD Index and surging oil price.
The pair is falling for the three days consecutively and the key level support is at 1.2345.

This slide takes place ahead of the BOC meeting regarding its decision on monetary policy on this Wednesday, which is important to keep an eye on.

Support: 1.235

Resistance: 1.249

VIX: 10.16

No change on the Fear Index as the major U.S. indexes were closed on Monday due to the Martin Luther King, Jr. holiday, which is also a bank holiday.

It is expected when the Tuesday’s session starts, the index would drop or not expecting higher level as US index shows a strong position.

GOLD: : $1342.05

Gold’s rally for 5 weeks consecutively continues to push the level higher, breaching the $1340 level as US closed for the public holiday with a light volume.
The upward momentum is strong and showing no sign of slowing down, however it is seemed to be overly stretched.

Support: 1325

Resistance: 1345

OIL (WTI): $64.41

Crude oil priced broke out, touching a fresh 3-year high at $64.87 despite of an increase in rig count by 10.
The trend still following the decline in US’s production this past week as well as the speculative money coming into the market remained stable.
The upward momentum is strong and is possible to break the $66.00 level

Support: 62.66

Resistance: 66

BITCOIN (BTC): $13512

The Bitcoin has declined over recent days, and is yet to properly recover on its bullish track. The value is considered unpredictable over the following weeks, but appeared to be relatively steady. Breaking the support key level at $12810 would turn into bearish momentum, as it followed the progress of banning the bitcoin by the Korean Justice Department.

Support: 12810

Resistance: 16500

Macro Themes in Play

Global Yields continue to suggest tapering and rate hikes here around the globe with economic growth globally expected to be stellar in 2018. Global stock market.