There Seems to Be No Leader in Currencies Today

October 25, 2018 8:48AM CDT

The dollar has shown some minor pullback action this morning and that is not surprising considering the large upside extension yesterday and a moderate early risk on tone in U.S. equities. On the other hand, the fundamental track from U.S. scheduled data today would seem to add to the corrective bias in the dollar and an initial downside target could easily be accomplished if the data supports that.  The USD might also see some minimal pressure today from a positive shift in the UK exit.  Resistance comes in at 9640 with support at 9580

Despite somewhat favorable news on the exit situation overnight, the euro remains held to the spike low from yesterday because of a weak set of German IFO readings overnight.  In fact, the euro received only a little support from suggestions that the ECB will stick with their exit targeting despite the darkening global outlook.  Resistance is around 11493 with support at 11395.

Dollar Index Dec '18 Daily Chart

Euro FX Dec '18 Daily Chart

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