Psychology for major markets Mar 10
Oil Exploded
EUR/USD – The Euro's rebound has some minor follow through but lack commitment as geopolitical uncertainty persists.
USD/JPY – The reversal has fundamental legs but may not be the right time for now, in a geopolitical driven time. The volatile Japanese equity market could also add to JPY's demise if there is another round of panic selling.
EUR/GBP – Little changed as the market's spotlight isn't here. Overall in consolidation.
AUD/USD – The Aussie rallied quite strongly on improving risk sentiment and previous metal's strong performance. AUD/USD is almost back to pre-war level but caution remain as its high correlation with geopolitical changes.
Equities & Others – Broader risk atmosphere is improving. However, the trend will change headline by headline and any rally could only be relief rather than strong commitment.