FX subdued going into European morning trade

Here’s a look at the changes for dollar pairs currently:

It is very much a dud with less than 10 pips change across all pairs at the moment. And the ranges for the day are also leaving a lot to be desired, so we might get some extension of that in the session ahead hopefully.

Despite the light changes though, there are some levels to be mindful of ahead of the key risk events on the day.

EUR/USD is holding just above 1.0800 but sits more within a range of 1.0780 to 1.0825 this week. The pair is keeping just above its 100 and 200-hour moving averages of 1.0810-15, so buyers may look to make a play on stronger euro area data.

Then, we have USD/JPY which opened with a gap higher on Monday and is holding that for the most part. The pair is still running into some resistance from the 61.8 Fib retracement level of the swing lower in July to August, seen at 153.40 currently.

As for cable, it is creeping up just above 1.3000 ahead of the UK budget later. But any downside strikes will have to contend with the 100-day moving average at 1.2974 currently.

Then, we have USD/CAD which is continuing its stunning October run to above 1.3900 now. The August high of 1.3945 will be one to watch as buyers continue their win streak, now seen at five days coming into today.

And then we have AUD/USD which is still drifting lower since the turn of the month, now falling to its lowest levels since early August. There’s not much support for the pair on the daily chart, with a run towards 0.6500 potentially on the cards if the dollar manages to maintain its momentum following the US jobs report on Friday.

So, it might be quiet now. But with plenty of key risk events on the cards in the next few days, we could see the technical levels highlighted get called into action. And that will add some intrigue to what has been a slow start to the week thus far.

This article was written by Justin Low at www.forexlive.com.