Investors are eyeing popular currency pairs like EUR-USD as the financial sector finds its rhythm. The EU nat gas prices are shifting higher with an increase in inventory levels.
The week witnessed the EUR-AUD pair breaking through the multi-month support at 1.4370. In other words, the pair is at its optimal momentum play for the time being. Even the EUR-GBP pair ranges between 0.8500 to 0.8400 while EUR-JPY is at -0.4%.
Many investors turned to Pepperstone reviews to learn more about the platform and its assessment. Some found that a major reason behind selling the US dollar is a stronger yuan.
It appears that a lower USD-CHN pair is steering the market. The pair started trading lower during the noon, resonating with the pattern of USD selling throughout the market. EUR-USD’s implied weekly volume has touched 10.28%, the center of its 12-month range.
It also implies a range of 1.0094 to 0.9859 from the previous week’s current spot prices. If the dollar bears come through the next week, investors should account for counter-moves at 1.0190 to 1.0200.
On the other hand, the volatility trades for the pair are balanced depending on the upcoming move. Powell’s speech at JH positioning is critical and will help investors formulate a firm view of the market. Over 66% of the open positions in the EUR-USD pair are held long.
However, the market still sees a bias for the US dollar to run into JH. Investors should keep an eye on it before it reaches 1.0190, where the elastic band will snap. Nonetheless, it will be driven by the market reducing positions into a lower USD-CNH and post-JH period.