Flows into the safety of the US dollar
As China reacts to increases in coronavirus cases in Beijing and Florida spooked the market with a surge in their cases, the flow funds into the forex market has been into the US dollar.
EURUSD: The EURUSD it is looking to test the lows from yesterday at the 1.12256 level. Below that the Friday low at 1.12119 would be eyed. The price fell below a trendline at 1.1260 level.
GBPUSD: The GBPUSD cracked below its 200 hour and 100 hour moving averages at 1.26455 and 1.26175 respectively. The price low just reached 1.2641. The 100 day moving average is down at 1.25274 today. Yesterday on Friday the price traded above and below that level but based at the 100 day moving average and ran higher in the afternoon New York session yesterday. There should be support on the 1st test should the price continue to move lower from here.
USDCHF. The USDCHF has moved up to test its 100 hour moving average at 0.95168. We currently trade at 0.95119. A move above the 200 day moving average should solicit more upside momentum.