Overnight Movements
GBP sold off last night as worry about the mortgage market weighed on the pound. GBPUSD sold off to a low of 2.0082. Trading at 2.0135 now. Testing resistance at 2.0142, then 2.0155.
EURGBP made it above the 0.6971 level and surged higher as in addition to GBP weakness, EUR officials were speaking of inflation. The pair stayed below the recent high of 0.7018, reaching a high of 0.7013. Short term intraday support at 0.6994, but the 0.6971 level is the key support.
Finally GBPJPY was able to move below the 200 hour MA at 231.67 then the trendline support on the hourly chart and make its way to a low of 229.70. It is testing short term resistance now at 230.44. A move above that level may target a test of the trendline resistance at 230.85.
GBPJPY 200 Hour at 231.67
The 200 hour MA in GBPJPY is being tested at 231.67. A break below will target 231.38.
GBPJPY testing 100 hour MA at 232.15
A break below will target lower levels. Next Support 231.61 area,
Market is getting more active as Europe/London close
EURUSD trades to a low of 1.4068. Boounces through intraday resistance at 1.4082 rather quickly. Getting choppy.
Equities Higher
DJIA up 43, Nasdaq up 19, S and P up 2.69
Dallas Fed manufacturing -4.6 versus -1.8 prior
Weaker than expected.
NZDUSD diverging on the hourly RSI
Could be signaling a short term overbought top as the hourly RSI has diverged. The top would be confirmed if the price would move below the 21 hour MA at 0.7439
GBPJPY tested short term support at 232.40
Trading 232.56 now.
