US stocks futures reverse earlier loss and point to a higher open. The move was triggered by news that Facebook is going to streamline privacy settings. Facebook shares trade more than 1% higher in premarket. The development triggers intensified selling in JPY and CHF. Both are in deep red in 4H heatmap.
But for now, EUR/JPY is held well below 132.40 resistance, GBP/JPY below 150.92, and USD/JPY below 106.63. There is confirmation of bullish trend reversal in these pairs yet.
On the other hand, developments in CHF crosses look more promising. EUR/CHF is on track for a test on 1.1832 resistance.
GBP/CHF is even close to equivalent resistance at 1.3491.
Based on current momentum, 1.1832 in EUR/CHF and 1.3491 in GBP/CHF could be taken out without much problem.
US Q4 GDP finalized at 2.9%, Muted Reaction, DOW Can’t take out 24000 yet
US data wrap up:
Reactions to the data are rather muted. DOW posts slight gains in early US session but is struggling to break through 24000 handle so far. It remains to be seen whether today’s recovery could sustain. We maintain the near term bearish view that as long as 24453.14 resistance holds, DOW will more likely revisit 23360.29 than not.
With markets back to risk on mode, JPY and CHF suffer much selling pressure. So far for today, USD/CHF and USD/JPY are the biggest winner.