Psychology for major markets July 27
U.S.-Iran pause their missiles exchange
EUR/USD – EUR/USD opened higher on broad based USD weakness. The market has long for good news and such relief rally could have further legs if not sabotaged by new conflicting headlines.
USD/JPY – The pair managed to revert from historical high with the help of USD selling. Market participants will need the BoJ to provide more hawkish forward guidance to provide the JPY with more strength.
AUD/USD – The Aussie set eyes on the 0.7030 resistance again. Upbeat risk sentiment and precious metal could push the pair there.
Equities & Others – Broader risk sentiment are upbeat on U.S. and Iran seemingly pausing their hostility. Oman is trying to bridge both sides to return to the negotiation table and could see another interim ceasefire.