The strongest and weakest currencies as NA traders enter for the day

Technical Analysis

Author: Greg Michalowski | forex

The CHF is the strongest. The CAD is the weakest.

As the North American traders enter for the day, the CHF is the strongest, while the CAD is the weakest. The USD is mixed with small-ish changes in the major pairs. The dollar is stronger vs. the CAD (+0.18%), the JPY (+0.17%), the AUD (+0.17%) and weaker vs. the CHF (-0.30%), GBP (-0.11%), NZD (-0.06%) and EUR (-0.05%).

The ranges (see bottom chart below), are showing volatility is down on this summer Monday. The ranges (with a few exceptions) are lower than the 22 day averages (red line in the chart) for the individual pairs.  The GBPUSD range of 71 pips is the largest vs. the USD.  The EURUSD range of 31 pips is well below its 22 day average of 69 pips (22 days is a proxy for a month of trading days).  There is room to roam should the market find a catalyst (fundamental/technical reason(s)).  The problem is the US calendar. FOMC Dudley is speaking as I type.  Later FOMC Evans will speak.  

In other markets today:
  • US stocks are higher in pre-market trading (and Euro markets are higher).  The Dow futures are up 79 points. The S&P futures are up 8.50 points. The Nasdaq futures are up 52.75 points. 
  • US yields are a touch lower from Friday (less than 1 bp across the curve).
  • Spot gold is down -$0.60 ore -0.05% to 1253
  • WTI crude oil is upu $0.14 or +0.31% to $44.88