EUR/USD stays on the backfoot early Wednesday and trades below 1.1850 after closing virtually unchanged on Tuesday. The pair’s technical outlook suggests that the bearish bias stays intact in the short term following the latest recovery attempt.
The GBP/USD pair retreated after the UK published a weak jobs report, which raised the possibility of more Bank of England interest rate cuts this year. It dropped to 1.3556, down substantially from the year-to-date high of 1.3870 as investors focus on the upcoming inflation report.
The FTSE 100 rallied again on Tuesday, as the markets are digesting, the employment numbers being worse than expected. As this could have the Bank of England could be forced to cut, stock traders are happy.
Bitcoin price was relatively unchanged on Wednesday morning, continuing a consolidation period that has been going on in the past few weeks. The BTC/USD pair was trading at 67,250, much lower than the all-time high of 126,400.
The euro continues to drift a bit during the trading session on Tuesday, as the oversold condition in the US dollar is starting to get a bit overdone. At this point, the short interest in the USD is at 14-year highs, and could we be ready to see a reversal?
The AUD/USD pair was largely unchanged on Wednesday after Australia released a strong wage growth report. It was trading at 0.7075 on Wednesday, a few points below the year-to-date high of 0.7146.