I said we needed to watch the action for clues and just when it was looking like we were going to see Fridays moves continue we see a reverse.
Stocks and USD/JPY have had another look at the downside and 1854 and 103 but have staged a mini bounce. It still feels pretty much in the balance so again, I wouldn’t go chasing these moves until we get a decent confirmation either way.
At the moment 103.35/40 is the level to watch on the upside and 103 the downside.
USD/JPY daily chart 07 04 2014
The S&P may be coat tailing the Nasdaq somewhat which has bounced from the lows. That may be a sign of an over extension from the massive losses last week. It’s a fairly wide range but 1880 and 1840 are the levels to watch
S&P daily chart 07 04 2014
US bond yields are still looking soft with 10’s breaking below 2.70%