Japanese Yen remains under pressure, Gold slides lower
Japanese Yen remains under pressure, eyes stops above 97.00 Gold begins to lose ites grip on key levels USD/JPY Japanese yen bulls remain in full retreat with the pair breaking above all three key moving averages. The 20-day SMA is at 94.23, providing decisive support to the greenback longs. As dollar bulls solidify their dominance over direction and push the pair toward 96.56, key resistance has been established by the confluence of the 50.0 Fib of the 101.45-91.68 JPY rally and channels
G10 FX: Positive Global Sentiment Causes USD to Retrace
DXY – Off after yesterday’s rally. The DXY index (79.204) is down overnight, partially retracing yesterday’s rally. The index has broken above downtrend resistance in place since early July. Resistance lies at 79.193 (mid-June low), 79.35 (early-July low), 80.892 (July high) and 81.466 (June high). Our long DXY position does not reflect long-term bullishness. Rather, the greenback looks oversold, and equities and other risk assets look overbought, and so we expect some paring of positions.