Dollar seen mostly lower to start the new week | Forexlive

EUR/USD is trading back up to 1.0365, up 0.5% on the day, and starting to nudge back above its 100-hour moving average of 1.0349. The pair is looking for a second straight day of gains, catching a bounce after a plunge last week to a low of 1.0222. Similarly, GBP/USD is also up 0.5% to 1.2485 as it is also contesting a push above its own 100-hour moving average of 1.2482 currently.

But what exactly do those moves mean?

It points to dollar sellers wrestling back some near-term momentum to start the new week. A push back above the respective 100-hour moving averages but below the 200-hour moving averages (1.0380 for EUR/USD and 1.2512 respectively for GBP/USD) means that the near-term bias will switch back to being more neutral instead.

Besides that, the dollar is also seen down against the commodity currencies with AUD/USD up 0.6% to 0.6250 and USD/CAD down 0.5% to 1.4370 currently. The latter is a particularly interesting one to start the week with the loonie side of the equation also in focus as seen here.

For now, the greenback is only trading up against the yen with USD/JPY holding higher by 0.3% to 157.70. This comes with bond yields keeping on the higher side, with 10-year yields in the US seen at 4.623% at the moment.

Will we see major FX play catch up to bonds later in the day/week perhaps?