The dollar index (KTM: DXY) retraced and US 10- year yields fell again to 2.98% overnight after Trump canceled his summit with North Korea. The yellow metal resume short-term rally to the 200MA.

Read Gold bullish view

USDJPY tested and held the 100EA overnight, EURUSD consolidating at six-month lows, AUDUSD consolidating in a tight range between 0.7520-0.7585 and the kiwi dollar has been facing stiff resistance at 14MA. The USDCAD again bounced back to the higher end of the range. Since, two weeks, the price has been locked in a tight range between 1.2925-1.2728 levels. On top of it, the price traced out a near-top near between 1.2925-1.2915 in May 15-18-23 via the formation of a triple top.
Whereas things change short-u-turn in the Asian session, Yen lower marginally.

News: KCNA reported, North Korea says leader Kim Jong un has made utmost efforts to hold the summit with Trump

JPY crosses: Correction at early stages

USDJPY

This week USDJPY retraced more than 2%. We suggested taking profit on sell trade with 1.5% profit.
After the volatile retracement pattern from this week’s high the USDJPY lost more than 2%. We saw and continue to see a further retracement in the coming days. Having completed our suggested selling trade, we are cautiously bearish anticipation for another correction leg to 108.00, and 107.30 levels with resistances seem to be at 110.00 and 111.00. This suggests that the downtrend is set to reassert itself as the daily RSI study unwinds a series of bearish divergence that formed between 110.00-111.39 levels. The shift in sentiment indicates that rallies to resistance at 110.00 and 110.80 should attract selling interest with support against the May 04 low at 108.65. Below here the focus will move down to 50MA and Sep 08 low.

EURJPY
EURJPY retraced 2.80% this week finally pauses the sliding action at parallel support at 127.55. Before retraced to 127.70 levels the cross spotted with a bearish H&S pattern aiming at 126.80 which coincides with the 38.2 fib reaction (below chart) with resistances seems at 129.60 and 131.40.
Looking through the price action from Jan high’s the price has been sliding in the falling channel. The corrective wave structure marked as A-B-C pointing to 124.90 below this the 50.0% fib reaction exists at 123.50. Overall in the medium-term (Q2), support zone finds between 125.00-123.00 its 100MA (monthly)

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