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Nov 06 - 08:55 PM

EUR/USD - Slides As Yield Spreads Jump, German Coalition Crumbles

By Andrew M Spencer  —  Nov 06 - 06:35 PM
  • Steady after tumbling 1.8% with the USD up 1.7% with surging UST yields

  • Yield spreads jumped, 10yr bund -4bp 2.393%, 10yr UST +15bp to 4.435% TWEB

  • Germany faces a snap election as Scholz's ruling coalition crumbles

  • Charts - negative daily momentum studies, 21-day Bollinger bands slip

  • 5, 10 & 21-day moving averages edge lower, signals display a bearish setup

  • 1.0820/44 5, 10 & 21 DMAs then this week's 1.0937 high are first resistance

  • Wednesday's 1.0682 low then 1.0666 June base are the initial support

  • 1.0725 1.100 BLN strikes may act as a magnet in ASia

    For more click on FXBUZ

Source:
Refinitiv IFR Research/Market Commentary

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