Dollar slightly more sluggish as European trading gets underway

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If anything, I’d say this owes to some continuation of flows from late yesterday after equities started turning around. The same goes for the yen, which is sitting slightly lower across the board as well.

Looking at the technicals though:

EUR/USD is still largely caught in rangebound territory since mid-November. The pair is up a little to 1.1330-40 levels today but unless buyers starts to threaten 1.1400, price action is still stuck.

Meanwhile, USD/CAD is also sitting lower by 0.3% to near 1.2640 but the technical support outlined yesterday is still holding.

Elsewhere, AUD/USD is up 0.3% as well to 0.7180 levels although buyers are struggling somewhat to get past the 100-hour moving average and break the more bearish near-term bias for now:

AUDUSD H1 11-01

The risk mood will be a key driver of trading sentiment today following yesterday’s rebound in stocks. That reaffirmed relatively strong dip buying appetite and we may see some continuation of that later today. For now though, the overall mood is tentative but fairly calm at least. US futures are up 0.1% while European indices are set to open higher as well.

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