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May 21 - 11:55 PM

EUR/USD - Yield Outlook Supports, Large 1.0825/30 Strikes

By Andrew M Spencer  —  May 21 - 08:25 PM
  • +0.15% after closing up 0.3% on Friday with the U.S. dollar off 0.35%

  • Dovish Fed Powell comments contrasted with resolute ECB's Lagarde

  • Strangely spreads widened, 10yr bund +1bp 2.423%, 10yr UST +5bp 3.692%

  • Charts; 21-day Bollinger bands expand while momentum studies conflict

  • 5, 10 & 21-DMAs track lower - remains a negative trending setup

  • 1.0782 NY low, then Friday's 1.0760 Asian base are initial support

  • 1.0828 NY high, then 1.0868 10-day moving average are the first resistance

  • 1.988 BLN 1.0825/30 strikes likely cap in Asia, unless there is news

For more click on FXBUZ

Source:
Refinitiv IFR Research/Market Commentary

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