The EURUSD surrenders Asian gains and returns to the 100 hour MA bias defining mark.

  • 09 November, 2021
  • 5:23 pm EET

The EURUSD surrenders Asian gains and returns to the 100 hour MA bias defining mark.

1.15703 is the 100-hour moving average.
During yesterday’s trading, the EURUSD moved above and below its 200 hour moving average, settling close below it.

During the Asian session today, the price attempted to fall but was unable to reach the lower 100 hour moving average. The low was merely 1.5765 before returning to the upside.

With momentum, the move higher was able to extend over the 200 hour moving average. The 50% midpoint of the fall from the October 28 high was broken at 1.16021. Sellers, on the other hand, gathered at another recent swing high level from last week, just above the halfway level at 1.16067.

The return to the negative was traded above and below the 200 hour moving average (at 1.1587). Over the last several hours, there has been a stronger push to the downside, with the price testing the 100 hour moving average at 1.15703.

The current exchange rate is 1.1577. This places the pair squarely between the two major moving averages. Traders are uncertain and taking a breather while waiting for the next thrust.

Despite its elevated level, the PPI has not elicited much market reaction. Traders are well aware that rising expenses are driving up producer pricing. Manufacturers are passing on those expenses whenever possible. The question now is whether this inflationary pressure will last, or if it is only temporary, as most Fed officials believe. It’s too early to tell, but the markets are leaning toward temporary, at least for the time being (or at least comfortable with the taper and potentially modest tightening later in 2022).

US yields continue to fall, with the 10-year yield falling -3.2 basis points. ET, the US Treasury will auction off $30 billion in new 10-year notes. Currently, the yield is 1.465 %  .

US yields are lower


Markets News :

  • JPY leads, AUD and NZD lag
  • European equities a little higher; S&P 500 futures flat
  • US 10-year yields down 3.2 bps to 1.465%
  • Gold flat at $1,824.25
  • WTI up 0.6% to $82.44
  • Bitcoin up 2.4% to $67,315

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