- U.S. on Memorial Day holiday
- Pfizer ends pursuit of AstraZeneca
- Draghi watching inflation expectations closely
With the U.S. and the U.K. out on bank holidays, it wasn’t surprising to see a quiet U.S. forex trading session yesterday.
The European currencies took advantage of the lack of U.S. traders. The euro remained at its intraday high areas against the dollar, yen, pound, and the Aussie despite Draghi hinting at more inflation concerns in his speech in Portugal.
The pound also remained resilient even as drug company Pfizer dashed the possibility of pound-positive M&A flows by giving up its pursuit of AstraZeneca. GBP/USD stayed at a 15-pip range just below 1.6850 while GBP/JPY found support at 171.50 and a resistance at 171.70.
Comdoll pairs like AUD/USD, USD/CAD, and NZD/USD ranged tightly for most of the day with the comdolls trying to post gains at the start of the trading session. The sellers were quick to step in though, and erased most of those gains. AUD/USD closed just below .9250; USD/CAD closed above 1.0850, and NZD/USD went back down to its .8550 area.
The first major data won’t come until the early London session when Switzerland’s trade balance numbers are printed. This means that traders could pay attention to Nikkei moves as well as any news report that might come out from China. Keep your eyes glued to the tube, will ya?
Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!