Psychology for major markets August 19th

EUR/USD – EUR/USD edging higher on the back of generally softer USD, but upside still looks restricted given minimal decline in yield spreads.

USD/JPY – Dipping sharply from key resistance area below 150. Underlying sentiment remains bearish as market anticipates further yield spread contraction going forward.

EUR/GBP – Strong UK GDP data and generally more risk positive tone underpinning GBP. Testing support at 0.8500/20.

AUD/USD – AUD remains well bid in more risk positive market, moving into the top end of the year’s range.

Equities – Small gains as correction seen to be overdone, but some large players offloading into rallies.