FX CORRELATiON & PRICE ACTION #USD #JPY #EURO #CABLE

Price-Chain Reaction Ripples Majors & Crosses

The Nikkei Average didn't waste time after a long holiday week that saw the NK225 surge towards and closer to the 20k level. The USDJPY equally rallied to its current levels @114.00 with a registered high @114.36 supported by a price recovery of the USD marked with the DXY @99.76 basis point. This may lead to a path for the Yen to weaken further in value @115.50 USDJPY equivalent in the near term that would serve as its first line of defense from a continuing USD price recovery but not to discount the possibility of a pullback lower before it does make its run.

EURJPY Cross Rate As of 5.11.17

Speaking about the USD - DXY; on a chart perspective the daily consolidation that stabilized the previous trend lower have formed a weekly cluster defined as a technically motivated island that signaled a high probability of a continued price recovery from a recent low @98.72 and currently trading @99.76 in the early US session with extensions @98.00 - 98.20 thereafter. Click here to continue

EURO & Financial Markets Initial Price Reaction on French Elections

Certainly its been a wide reaction in Asia as the direct effect on the single currency in Europe has been favorable towards a Pro-EU French president. This is the initial reaction from Sunday's results.

As of Asian Session 4.24.17

This resulted with a remarkable surge as the #EURO traded with an opening price gap at 1.0918 drifting lower for a corrective session move at 1.0860 which would be traded between bull and bear players as short market squeeze would be deemed to rise due to this event where an increase in market volatility already indicated. An obvious spill over on the E-mini futures market on the SP500, DOW and the NASDAQ would be expected as a positive influence on the initial lead counting into the US trading session.

These sentiments goes in the same manner with the rest of the currency majors; where we find the #USDJPY opening at 110.50 with a spill over effect on the #EURJPY Cross opening at 119.97 with a session high at 120.33. And in addition, these moves have resulted with the NK225 moving towards the 18857 levels. 

EURO & Financial Markets Initial Price Reaction