Psychology for major markets May 6
Another Round of Japan Intervention
EUR/USD – The Euro has rebounded from support circa 1.17. Combined with broad USD weakness on improving sentiment, the pair is trying to gain traction for rally.
USD/JPY – The Japan MoF seems to have perform another round of intervention as we see USD/JPY drop by more than a figure in minutes. The follow through selling see the pair fell as low as two figure, before quickly recouping partial losses.
AUD/USD – Strong support from broader risk sentiment and solid precious metal. AUD/USD bounced from 0.7190 technical area and looks set to test the next resistance at 0.7331.
Equities & Others – Broader risk atmosphere improves but still lack fundamental clarity, only Trump's usaul upbeat comment. Market participants seem to be looking at the bright side for now.