Daily FX Market Commentary

Andy Harrison

Good Morning,

 

LMAX Close

USDJPY 110.226 | EURUSD 1.18616 | AUDUSD 0.74793 | NZDUSD 0.69312 | USDCAD 1.24674 | USDCHF 0.92322 | GBPUSD 1.37985 |

 

LMAX Highs and Lows 0500 GMT

Highs | Lows   

EURUSD               1.18764 | 1.18479

USDJPY                110.310 | 109.719

GBPUSD              1.38285 | 1.3788

USDCHF              0.92359 | 0.92173

AUDUSD              0.75220 | 0.74811

NZDUSD              0.69728 | 0.69331

USDCAD              1.24765 | 1.24364

EURCHF               1.09518 | 1.09362

EURGBP              0.86017 | 0.85824

EURJPY                130.972 | 130.044

 

For Today

 

  • GBP: Fed commentary through the weekend saw the USD opening stronger and Cable opening around the 1.3800-15 area struggling in early trading and lightly testing through the figure level into the Tokyo opening testing the 1.3790 area before recovering steadily through to the 1.3830 level into midsession, back end of Tokyo saw the USD again in ascendency and the Cable slipping through to push into the grey hour testing the 1.3785 area, Downside weak stops likely on a push through the 1.3780 with congestion likely through the 1.3750 and continuing into the 1.3700 level before stronger sellers reappear for a move through to lighter congestive bids on a run through the sentimental 50/00 areas with stronger bids likely to be limited too the 1.3500 area. Topside offers into the 1.3900 level likely to be light with weak stops very likely through the 1.3800 level and very little in the way of offers until into the 1.4000 level and strengthening from there into sentimental areas.
  • JPY: Not as strong as the other pairs however, USDJPY started around the 110.25 area before filling the gap quickly through the 110.20 area and then slowly ranging around the 110.15-20 through to midsession before dropping back quickly to the 110.00 level and then weak stops triggered on a dip through and a quick dip again this time to the 109.70 level before finding some support for the pair, Topside offers light through the 110.20 level with very limited weak stops if any at all and congestion then appearing from the 110.40-60 area before stronger offers start to appear on any move towards the 110.80 level and likely to continue through the 111.20 level before stops appear however, stronger offers around the 111.50 level likely to limit the first move higher. Downside bids light through to the 109.00 and congestion all the way through, a push through the 108.80 level will likely see weak stops appearing and the market then seeing light congestion to the 108.50 and stronger bids from there on.
  • AUD: Opening around the 0.7485 area and after the first hour slowly pushing through to midsession to test above the 0.7525 area before dipping away to move to the grey hour just off the 0.7485 opening area, light congestion to the Topside through the 0.7550 area however, a push through sees very little to slow the market through to the 0.7620 area and likely weak stops starting to build in the area, downside bids light and weak stops likely on a dip through todays lows and the market opening for a test through to the 0.7350 level with little trouble before stronger congestion through into the 0.7300 level.
  • EUR: Opening lower the market slowly pushing through into the mid 1.1870’s before drifting from the midsession onwards to hold just above the 1.1850 level for the move into the grey hour, downside congestion through the 1.1820-1.1780 area, a break sees weak stops however, congestion is likely to continue to the 1.1700 level absorbing most of the pressure and likely stronger bids for the moment, Topside offers light through to the 1.1900 and limited congestion and increasing on a move through the 1.1960 level before stronger stops appear above the 1.2020 area if it could get there in a short squeeze.

 

Overnight News

USD/CNY:

Theories about Fed’s turn and why Beijing likes it – China Today

USD:

Fed’s Bullard says High inflation may warrant 2022 lift off – BBG

USD/RUB:

US preparing more sanctions against Russia – NYT

AUD:

Australian Retail Sales soft in May due to Victoria lockdown – DJ

CNY:

Some China banks cut rates of deposit certificates – Sec. News

EUR:

Macron and Le Pen both disappoint in Frances regional election – BBG

Le Pen’s party third with 19% in regional vote – Exit poll

Macron’s party fourth with 12% in regional vote – Exit poll

 

 

Today’s Data

AUD       Retail Sales MoM (MAY) (P) A 0.1% | C 1.1% | P 1.1%

CNY       PBoC Loan Prime Rate A 3.85% | P 3.85%

1515      EUR       ECB’s Lagarde Speaks

2000      USD       FOMC Member Williams Speaks

2200      NZD       Westpac Consumer Sentiment (Q2) A | P 105.2

 

 

 

Best Regards

Andy

 

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LMAX Exchange Market Commentary   Andy Harrison  

Any opinions, news, research, analyses, prices or other information ("information") contained on this Blog, constitutes marketing communication and it has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Further, the information contained within this Blog does not contain (and should not be construed as containing) investment advice or an investment recommendation, or an offer of, or solicitation for, a transaction in any financial instrument. LMAX Group has not verified the accuracy or basis-in-fact of any claim or statement made by any third parties as comments for every Blog entry.

LMAX Group will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information. No representation or warranty is given as to the accuracy or completeness of the above information. While the produced information was obtained from sources deemed to be reliable, LMAX Group does not provide any guarantees about the reliability of such sources. Consequently any person acting on it does so entirely at his or her own risk. It is not a place to slander, use unacceptable language or to promote LMAX Group or any other FX and CFD provider and any such postings, excessive or unjust comments and attacks will not be allowed and will be removed from the site immediately.