Risk increased as markets trade Trump like the Fed Chair
The market is reacting to the comments from Donald Trump by:
- Selling the dollar
- Selling stocks
- Pushing yields lower on bonds
The story seems to be focused on:
- The bashing of health care and defense industry. That has sent those sectors lower.
- No comments on infrastructure spending
- One can say his continued harping on Hillary. Get over it.
Gold is trading near unchanged levels
For the major pairs:
EURUSD: The EURUSD squeezed above the resistance at 1.0517-21 and moved up 1.0540. That is the 50% of the move down from yesterday's high. We are back below the 1.0517-21 level. Look for sellers to line up against that area now
USDJPY. The USDJPY fell back down toward the lows for the day at 115.66. The low just reached 115.70. The 200 bar MA on the 4 hour chart comes in at 115.60/ On the move lower, the price fell below the 115.96 -116.11 level. The price is trading back above that area. Can the 115.96 -116.11 hold now?
GBPUSD: The GBPUSD made new post October crash lows at 1.2082 and tumbled to 1.20369. We are back above that old low at 1.2082. That will now be eyed once again.
