Psychology for major markets Feb 23
USD weakens on uncertainty
EUR/USD – The Euro capitalizing on USD weakness and is searching for higher grounds. It is likely looking at the 1.19 figure to test its resistance if greenback continues to weaken. Key economic release from the EZ may give it a push.
USD/JPY – The pair seems to be gathering steam for another round of correction. After the rebound last week, USD/JPY looks directionless as Takaichi's quiet. Following long end JGB yields, there is a good chance we see renewed JPY strength coming.
EUR/GBP – The pair is little changed and waiting for next leg.
AUD/USD – The Aussie has retraced earlier gains despite precious metals strength. It is being dragged by the poor risk sentiment.
Equities – Broader risk atmosphere poor while precious metal gains on geopolitical uncertainty.