Aussie Surges as Markets in Full Risk-On, All Risks Shrugged

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Risk-on mode continues in Asian markets today. Investors, in particular in Hong Kong markets, basically shrugged off US President Donald Trump’s announcements regarding China. There is also no reaction to the unrest in US. Instead, traders continued to cheer economy reopening, as well as positive data from China. Australian Dollar is currently the strongest for the day, followed by New Zealand. Dollar is leading the way down, followed by swiss Franc and Yen.

Technically, 1.1167 fibonacci resistance in EUR/USD is the key level to watch this week. Sustained break there could push EUR/USD further towards 1.1496 resistance. That would be an early sign of larger reversal in Dollar and could prompt steeper selloff in the greenback elsewhere. As for Aussie, AUD/JPY is now in proximity to key resistance zone between 55 week EMA (now at 72.79) and medium term trend line (now at 74.01). Reaction from there would define the next medium term move.

Aussie Surges as Markets in Full Risk-On, All Risks Shrugged


In Asia, currently, Nikkei is up 0.86%. Hong Kong HSI is up 3.22%. China Shanghai SSE is up 1.97%. Singapore Strait Times is up 2.09%. Japan 10-year JGB yield is up 0.0021 at 0.008.#AUD/USD##Todayanalysis#

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