Slow Start

Even with Friday’s better-than-expected Non-Farm payroll report, the markets have remained quiet in relatively light trading today. With little on the economic news horizon, it will be interesting to see if the bullish Dollar will be able to maintain its forward momentum. Lack of a clear direction has led to range-bound trading in the EUR/USD pair, with the upper limit near the 1.3380 level and the lower limit around 1.3340. In the USD/JYP pair, lackluster trading is also taking hold of the Asian crosses, with a current low at 119.17 and the high only 20 points away at 119.37. Finally, the GPB/USD has shown a distinct Dollar bias since liquidity returned in the Asian session. The gradual declines since the official open led the pound to a 60-point loss to 1.9605 twelve hours later. Most traders in the US returned from their extended holiday weekends, while those in Europe had another day off. The hole in liquidity was rather obvious, as most of the majors were held in check through the usual hours of volatility. Greenback traders were left to fully digest last week’s employment data and speculate on the few market-moving indicators set for release over the coming days. One might expect to see volume return to the currency markets on Tuesday in early morning trading. David Hilgeman, XPRESSTRADE Analyst