MonsunAsia

MonsunAsia

AUD - BULLISH 1️⃣ The RBA held the cash rate target at a record low 0.1%, kept the size of its A$200 billion bond-buying program, affirming its commitment to maintaining supportive monetary stance until at least 2024, while also signaling it is prepared to buy further bonds than its current $200 billion program if that helped lower the jobless rate and spur wage...

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EUR - BULLISH 1️⃣ Reports that the EU may hit vaccination target earlier than projected boosted the euro. CHF - BEARISH 1️⃣ Expectations of a huge US economic rebound and high Treasury yields while the outlook in Europe remains more vulnerable due to rising Covid-19 cases. ===== Technical ===== We are buying the EURCHF above support + above SMA 50 on the H1...

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USD - BULLISH 1️⃣ The US economy created the most jobs in 7 months in March, and the ISM Services PMI showed record growth in the services sector. 2️⃣ President Biden unveiled a $2.25 trillion infrastructure plan to boost the economic recovery, although the package is likely to face strong GOP opposition, especially over a corporate tax hike increase. 3️⃣ The...

MonsunAsia Updated 

EUR - BEARISH 1️⃣ Investors fear that rising COVID-19 cases across Europe and the ongoing restrictive measures and vaccine delays could further hurt economic recovery. 2️⃣ EU leaders insisted during its March summit on the need to urgently accelerate the vaccination campaigns and agreed to keep restrictions in place for the time being, including on non-essential...

MonsunAsia Updated 

EUR - BEARISH 1️⃣ Investors fear that rising COVID-19 cases across Europe and the ongoing restrictive measures and vaccine delays could further hurt economic recovery. 2️⃣ EU leaders insisted during its March summit on the need to urgently accelerate the vaccination campaigns and agreed to keep restrictions in place for the time being, including on non-essential...

MonsunAsia Updated 

AUD - BULLISH 1️⃣ The positive risk tone supported the antipodean AUD. JPY - BEARISH 1️⃣ Rising US yields weighing on the JPY. 2️⃣ Risk-on tone pressured the safe-haven JPY. ===== Technical ===== We are looking to buy the AUDJPY at RBS + above SMA 50 on the H1 chart. ===== Risk to this trade ===== Any change in sentiment could turn the pair's direction.

MonsunAsia Updated 

USD - BULLISH 1️⃣ The US economy created the most jobs in 7 months in March, the payrolls report showed, and President Biden unveiled a $2.25 trillion infrastructure plan to boost the economic recovery. 2️⃣ US ISM Services PMI for March is set to jump, following a sharp rise in ISM manufacturing. CHF - BEARISH 1️⃣ Expectations of a huge US economic rebound and...

MonsunAsia Updated 

CAD - BULLISH 1️⃣ WTI crude futures rose as much as 2% to $60.6 per barrel on Thursday. 2️⃣ Canadian manufacturing PMI for March is expected to jump as sentiment regarding production over the next 12 months remained upbeat. JPY - BEARISH 1️⃣ Industrial output in Japan fell 2.1% mom in February, worse than expected. 2️⃣ Japan's housing starts dropped by 3.7% yoy...

MonsunAsia Updated 

AUD - BEARISH 1️⃣ Investors moved into the Greenback amid prospects of faster economic recovery as President Joe Biden on Wednesday announced a US$2.25 trillion infrastructure plan over an 8-year period including $621 billion for transportation and $580 billion for manufacturing. 2️⃣ Retail sales in Australia declined by 0.8% month-over-month in February...

MonsunAsia Updated 

USD - BULLISH 1️⃣ Investors continue to bet on a strong economic recovery amid further fiscal stimulus and coronavirus vaccination. 2️⃣ US President Biden announced a $2.25 trillion package, the second major stimulus plan after the $1.9 trillion bill. 3️⃣ US ISM manufacturing PMI is set to rise as US stimulus package could boost the activity. CHF - BEARISH 1️⃣...

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GBP - BULLISH 1️⃣ Investors hope for a quicker economic recovery in the UK due to the continued success of the vaccination rollout programme coupled with massive fiscal and monetary stimulus packages. 2️⃣ The IHS Markit/CIPS UK Manufacturing PMI was revised higher to 58.9 in March 2021, from a preliminary estimate of 57.9 and above February's 55.1. JPY -...

MonsunAsia Updated 

AUD - BULLISH 1️⃣ Risk sentiment was boosted amid reports that the US government will unveil an extra stimulus program, including larger spending in infrastructure later this week. 2️⃣ Local 10-year bond yields pushed higher to 1.8%. JPY - BEARISH 1️⃣ Local media reports said that the weekly number of newly confirmed novel coronavirus cases in Japan has exceeded...

MonsunAsia Updated 

NZD - BULLISH 1️⃣ Risk sentiment was boosted amid expectations of immense spending from the US government later this week and continued low rates from the Federal Reserve. 2️⃣ Local 10-year bond yields pushed higher to 1.77%. CHF - BEARISH 1️⃣ Expectations of a huge US economic rebound and high Treasury yields while the outlook in Europe remains more vulnerable...

MonsunAsia Updated 

EUR - BEARISH 1️⃣ Concerns about a surge in COVID-19 cases across Europe and the negative impact of restrictive measures and vaccine delays on economic recovery. 2️⃣ Last week, EU leaders insisted on the need to urgently accelerate the vaccination campaigns and agreed to keep restrictions in place for the time being, including on non-essential travel. USD -...

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CHF - BULLISH 1️⃣ The CHF benefited as the coronavirus pandemic continues to have a strong adverse effect on the economy. JPY - BEARISH 1️⃣ Tokyo confirmed Sunday 313 new Covid-19 cases amid growing signs of a rebound in infections also in other areas, after a state of emergency ended throughout Japan almost a week ago. ===== Technical ===== We are looking to...

MonsunAsia Updated 

AUD - BEARISH 1️⃣ Investors turned risk averse as coronavirus lockdowns in Europe and potential US tax hikes hit risk appetite. CHF - BULLISH 1️⃣ Concerns about a surge in COVID-19 cases and vaccine shortages in Europe boosted the CHF. 2️⃣ The Swiss National Bank (SNB) held its policy rate unchanged at −0.75% in March meeting. ===== Technical ===== We are...

MonsunAsia Updated 

CAD - BEARISH 1️⃣ Oil prices sank more than 5% on Tuesday, with WTI crude trading below $60 a barrel and Brent about $62.7 a barrel amid escalating worries that the third wave of COVID-19 cases in some countries in Europe and slow vaccine rollouts in the continent will hurt a recovery in fuel demand. JPY - BULLISH 1️⃣ A string of renewed coronavirus restrictions...

MonsunAsia Updated 

AUD - BEARISH 1️⃣ Concerns that new pandemic curbs and slow vaccine rollouts in Europe will dampen prospects of a swift economic recovery. 2️⃣ Local 10-year bond yields also eased slightly to 1.743%. 3️⃣ Sentiment was also affected following Western sanctions on China over Xinjiang's abuse, with Beijing hitting back with punitive measures against European...