Psychology for major markets May 26

EUR/USD – The Euro reverted lower on renewed USD strength. The pair remain capped by overhead resistance at 1.17 figure.

USD/JPY –  The moderation of JGB yields have put a lid on USD/JPY but the extra debt has raised market participants' concern on Japanese fiscal picture and will drag the JPY in a medium run. USD/JPY is challenging 160 figure.

AUD/USD – The Aussie has faded the initial jump from Monday. The pair couldn't challenge the resistance around 0.7190 for now.

Equities & Others – Market participants are frontrunning a potential deal again and sees to be careful this time by scaling back their position on Tuesday. The 5% of the deal could take a long time to complete if it doesn't break down.