The JPY is the strongest. The GBP is the weakest.
As North American traders enter for the day, the JPY is the strongest, while the GBP is the weakest. The USD is mixed with more declines. The greenback is higher against the GBP (+0.47%) and NZD (+0.17%), but declines against the JPY (-0.40%), the CAD (-0.26%), EUR (-0.26%), AUD (-0.23%) and CHF (-0.19%).
The GBPUSD rallied early to the resistance area defined by the swing lows and highs. Above is more bullish. Below is more bearish. Sellers entered near the bottom of the 1.2768-91 area and the selling started. The price traders near the lows. The 100 day MA at 1.26178 is the next target, followed by the 200 day MA and the 50% retracement which are both at 1.2578. Remember that level.
The ranges for the day area mostly below the 22-day average trading ranges (lower volatility). The GBP pairs are the biggest movers and close to the average trading ranges. Those pairs are also trading near their lows for the day as NA traders enter for the day.
The economic calendar is light with the US budget released at 2 PM ET/1800 GMT.
In other markets:
- Nasdaq stocks are lower again (after the 100 point decline on Friday) and leading the way. The futures are down -55.00 points. The S&P is down -5.00 points. The Dow is down -20 points
- US yields are up but less than 1 bp across the curve
- Spot gold is up $1.17 or +0.10% to 1267.94. Last week, the price got within about $1.00 of $1300 before tumbling lower
- WTI crude oil is up $0.76 to $46.59.
