|10-Year: +04/32....%.... GNMAs: .... USD/JPY: 79.53.... EUR/USD: 1.2321|
Michigan Sentiment: Actual 73.6, consensus 72.2, prior 72.3
Leading Indicators: Actual 0.4%, consensus 0.2%, prior -0.3% (revised -0.4%)
USDJPY is +20 pips at 79.55 and is trading on its best levels of the session. The recent five-day winning streak has the pair trading at its best level in over a month with trade now testing 79.50 resistance. The 80.50 area is setting up as a key level and should be watched carefully on a test. AUDUSD is -90 pips at 1.0420 as action holds just above the session lows. The hard currency has rolled over this week after being unable to break through the 1.0600 level, and now has traders eyeing 1.0250/1.0300 support. The 50-day moving average is on the verge of a ‘golden cross’ over the 200-day, and will be watched closely over the coming days.
USDCAD is +25 pips at .9890 as trade attempts to form a bottom near the May lows. Selling over the past two and a half months has the pair down close to 500 pips as nine of the past eleven days have resulted in losses. USDCAD has been a fairly good indicator for broader U.S. dollar moves; so if a bottom is able to form, be on the lookout for U.S. dollar strength.