US stocks suffered steep selling overnight on sharp rally in treasury yields, and the selloff carried forward to Asian markets. Yen and Dollar ride on the turn in risk sentiments and rebounded, together with Dollar. Australian and New Zealand are in deep pull back, together with Sterling. Euro and Swiss Franc are mixed for the moment.

Technically, the rebound in Euro continues to be impressive, except versus Dollar. EUR/GBP’s break of 0.8953 resistance should confirm short term bottoming at 0.8537. EUR/AUD’s break of 1.5408 resistance should also indicate short term bottoming. Break of 1.5348 resistance in EUR/CAD would align the development with the above two crosses. Such developments could help cushion Euro’s decline versus Dollar and Yen.
In Asia, currently, Nikkei is down -3.01%. Hong Kong HSI is down -2.43%. China Shanghai SSE is down -1.84%. Singapore Strait Times is down -0.98%. Japan 10-year JGB yield is up 0.0135 at 0.166. Overnight, DOW dropped -1.75%. S&P 500 dropped -2.45%. NASDAQ dropped -3.52%. 10-year yield rose 0.129 to 1.518.

Source: www.actionforex.com