The forex markets are staying in tight range in Asian session today. More clarity is needed regarding two of the biggest global risks, before traders commit more. It’s unlikely for a Brexit deal to be reached at the EU summit this week. And it’s reported that EU could hold a new emergency summit before end of the month. Yet, that would very much depend on any progress made. Meanwhile, it would take more time for US and China to hammer out what were exactly agreed in texts. Before that, nothing is considered done, not even phase 1 of a trade deal.

In the currency markets, Australian Dollar is steadily in range after RBA minutes, slightly softer. Technically, Dollar’s recovery overnight was relatively short lived and weak. 1.0941 minor support in EUR/USD and 0.6710 minor support in AUD/USD would be two levels to judge the strength of the greenback. Sterling is staying in consolidations after the spike last week. Such consolidations could enter for a while, until there is more news on Brexit coming through.

In Asia, currently, Nikkei is up 1.89%. Hong Kong HSI is down -0.21%. China Shanghai SSE is down -0.67%. Singapore Strait Times is down -0.15%. Japan 10-year JGB yield is up 0.0092 at -0.170. Overnight, DOW dropped -0.11% in quiet trading. S&P 500 dropped -0.14%. NASDAQ dropped -0.10%. 10-year yield dropped -0.019 to 1.733.


Source: www.actionforex.com