Analyzes

High valuations, a meager dividend, and selling pressure despite another upbeat earnings report suggest a lack of confidence. Is more downside ahead?

The Australian Dollar (AUD) kicked off the new trading week on a strong note, with AUD/USD pushing past the 0.6600 level and touching two-day highs.

The EUR/USD pair fell on Monday to 1.1651, its lowest in over a week, as the US Dollar (USD) surged on Asian and European political woes.

The USD/JPY pair opened with a bullish gap at the start of a new week and surged past the 150.00 psychological mark, rising to its highest level since early August in reaction to an unexpected result in Japan’s leadership contest.

EUR/USD stays under heavy bearish pressure in the European session on Monday and trades below 1.1700. In the absence of high-impact data releases, investors are likely to remain focused on political developments in the United States (US) and France.

The Pound Sterling (GBP) recovery from seven-week lows against the US Dollar (USD) lost legs, sending GBP/USD back below the 1.3500 threshold.