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Dollar and yen rode on a wave of deteriorating risk sentiments last week and surged sharply across the board. Stronger than expected Q3 GDP from US triggered some optimism in the markets on Thursday but the impact faded on Friday as stocks ended a strong but rather brief rebound and…

EUR/USD’s fall from 1.5061 extended further to as low as 1.4682 last week. Subsequent recovery was limited well below 1.5061 and EUR/USD weakened again to close the week near to the weekly low. Initial bias is mildly on the downside this week and break of 1.4682 will confirm that fall…

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USD/JPY reversed after edging higher to 92.31 last week and the development indicates that rebound from 88.00 has completed already. Initial bias will remain on the downside this week and further decline should be seen to retest 88.00 low first. On the upside, in case of recovery, break of 91.60…

While the recovery from 1.6250 was strong, it was still limited below 1.6692 and GBP/USD weakened against since then. The choppy look of such recovery suggests that it’s merely a correction to fall from 1.6692 only. Initial bias is mildly on the downside this week for 1.6250 first. Break there…

USD/CHF’s rebound from 1.0032 extended further to as high as 1.0285 before retreating. While such retreat was deep, it’s contained well above 1.0032 low and USD/CHF strengthened again to close the week near to the weekly high. There is no change in the view that a short term bottom is…

AUD/USD’s fall from 0.9326 extended further to as low as 0.8942 last week before recovering. While such recovery was strong, it was limited well below 0.9326 high and AUD/USD weakened sharply again towards the end to close near to the weekly low. The development suggests that fall from 0.9326 is…

USD/CAD’s rise from 1.0205 extended further to as high as 1.0846 last week and closed strongly. Initial bias will remains on the upside this week and further rise should be seen to 1.1123 resistance next. On the downside, below 1.0652 support will indicate that a short term top might be…

EUR/GBP’s fall from 0.9410 resumed after recovery was limited at 0.9238 and dived to as low as 0.8911 before turning sideway. With 4 hours MACD crossed above signal line, an intraday low should be in place and some sideway consolidations might be seen initially this week. Nevertheless, note that fall…

EUR/CHF continued to gyrate in established range last week and outlook remains unchanged. Risk remains on the downside with 1.5238 resistance intact and another fall cannot be ruled out. But even in that case, downside should be contained by 1.5007 key support to complete the fall from 1.5364 and bring…