Dollar keeps steadier in quiet trading | Forexlive
Well, that is not to say that such a quiet period wasn’t expected. All eyes are on the US CPI data tomorrow so it isn’t too surprising to see markets lack appetite and conviction on the day. The greenback remains little changed for the most part but is seeing some slight gains against the yen, franc, and pound at the moment.
I touched on the USD/JPY price action earlier in the session here, with USD/CHF now on the move being up 0.5% to 0.9275 on the day. The antipodeans are also seeing a bit of a retreat, despite equities holding slightly higher. AUD/USD has seen its earlier gains erased in a drop to 0.6880 from around 0.6925 during the handover from Asia.
In the bigger picture, buyers are still in control though after the push above the 200-day moving average (blue line) and key trendline resistance (white line) at the end of last week. Those will now act as defensive lines in maintaining the upside momentum ahead of tomorrow’s key risk event.
The mixed mood in markets today tells the story that there is a lack of coherence in the flows. I would attribute that to a bit of tension as we await the US CPI data tomorrow, so if anything else I wouldn’t read much into the moves at the moment.