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Writer's pictureMike Paterson

US Dollar demand as we wait on NFPs

Friday 5 July 2019

The pause button was firmly held down during the US holiday helped the large EURUSD and USDJPY option expiries I highlighted again but we've seen a bit of US Dollar demand in Asia/early Europe ahead of the key US jobs/wages report at 13.30 BST. Fragile/uncertain risk sentiment overall though still.


GBPUSD has continued to fail into 1.2600 and this morning has had another wobble lower to test the decent demand at 1.2550 that I've mentioned previously but holding as I type. EURGBP continues to find dip demand but equally still can't get through those 0.8980-85 offers (GBPEUR demand at 1.1130). GBPJPY rally sellers remain poised but equally seeing some dip demand as USDJPY holds 107.70.


I remain GBP bearish overall still and will continue to rally-sell as my preferred strategy amid all the uncertainty/indecision including Brexit/political fallout.


EURUSD remained tightly bound by those large option expiries yesterday but has slipped lower this morning helped by some awful German factory orders data. USDJPY has large expiries again today at 107.75 helping to keep the range contained and seemingly the pair underpinned along with the current USD buying.

USDCHF remains underpinned but tightly bound still as does EURCHF.


AUDUSD remains tightly bound in a 0.7000-50 range still with large interest at either end while USDCAD remains range bound but on the back foot still amid the risk,USD and oil fluctuations.


Fickle Forex markets ever prevailing so be ready with your entry/exit levels and orders as always.


Have a good day/week-end out there one and all.


Interbank Rate 08.45 BST

GBPUSD   1.2555

EURUSD   1.1265

EURGBP   0.8974

GBPEUR   1.1143

GBPAUD   1.7883

GBPCAD   1.6398

GBPJPY   135.63

GBPZAR   17.7084

GBPHKD   9.7339

GBPNZD   1.8815

USDJPY   108.01

EURJPY   121.73

EURCHF   1.1121

EURHKD   8.7354

AUDUSD   0.7019

USDCAD   1.3064

USDCHF   0.9871


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