Retail Buyers Support USD Weakness

Yesterday was a very quiet day, with little in the way of significant moves.
The aussie did manage to push lower, but given the daily range on this pair it wasn't a massively significant move ahead of the Monetary Policy Meeting Minutes.
After Draghi's early morning speech - of which we don't expect too much - we have a flurry of U.K. data, the German ZEW survey and then a flurry of US data.
The past few days has really seen some chop and consolidation in the majors.
The SNB are up later in the week, and the Swissy seems to be holding ground at these levels against most pairs We could see further comments from the SNB weakening the CHF, which in turn could play well for the CHF crosses including the USD/CHF.

EUR/USD
The EUR/USD was still long, and the pair continued to chop around with little movement.
Every time this pair creeps higher, it seems to find more Retail Traders willing to short it, and it slowly grinds higher doing so. We have been saying this for a while now, but we really need to see a more balanced book for a move lower. The extremes only tend to bode well for long positions.

Although we continue to look for shorts in order to close our long positions, the pair seems to be finding some support around the key 1.3300 level. If this holds a test of the 1.3460 / 1.3500 could easily be on the cards.


GBP/USD
The pound bounced around, but with a myriad of UK data out Tuesday morning, we could see some more volatility in what is a pretty big data week for the pair.



So far, having crept above the 200 day SMA the pair seems to be holding well, although it does look like it is due a correction. As in the same fashion as the Euro, the pair keeps finding more sellers as it creeps higher. This usually means we could still see a move higher.


AUD/USD
We continue to like this pair long despite the drop on Monday.
There is general trend in the order book, which seems to be pointing towards Retail Traders closing long positions. If we continue to see this, we could expect a move higher from these levels. However, if we see more buyers enter the market the pair is likely to chop around and grind lower again.


The daily chart points to some nice support around the 0.9350 / 0.9400 level and the 0.9500. If we stay above these levels and clear the aggressive long positioning of the order book, we could see a nice move higher again.


USD/CHF
We continue to like this pair long, but the pair does remain weak. We would not be surprised to see a test of the 0.9100 level before moving higher. However, as mentioned above - if the SNB step in on a lower peg in the pair, we could easily see a very aggressive move higher and quickly.

The daily chart looks weak, and the pair has really struggled to follow through form the initial price rejection of the lower levels.
Order book systems are likely to close longs here and re-enter short due to further buying by Retail Traders. Thursday will most likely be the key day in the Swissy with the SNB's Jordan speaking.