Thin markets causing large swings

<p>With the markets having some large swings late yesterday it put the USD on the back foot, and we started the same way this morning […]</p>

With the markets having some large swings late yesterday it put the USD on the back foot, and we started the same way this morning with EUR and GBP hitting highs of 1.0791 and 1.4871. However, it seems that the thin markets are causing more issues as we clear all the gains and start heading back toward the lows of yesterday. The euro has been helped down by the PMIs out of the Eurozone which came in line with expectations, and the GBP sells off as the PMIs come in as expected as well.

So not much news to be pushing these swings but very thin markets.

Today’s event will be the US ADP which is expected at 227k, an improved figure from the last at 212k, so more pain could be in store for the risk pairs.

The US ISM manufacturing is also set to be released and can have a significant impact on the USD.  The data is set to be close to the last read at 52.9.

 

 

EUR/USD
Supports
 1.0680-1.0630-1.0550 | Resistance 1.0815-1.0900-1.0950

 

 

USD/JPY
Supports 
119.80-119.50-119.20 | Resistance 120.40-120.70-121.00

 

 

GBP/USD
Supports 1.4760-1.4700-1.4640 | Resistance 1.4875-1.4935-1.5000

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