EURUSD falls from peak
The euro drifted lower as a dramatic price swing added over 200 pips to the dollar. The pair is holding onto the 1.1850 level, which is now critical support. The downbeat mood could continue to attract selling interests looking to reclaim last month’s low around 1.1600. On the upside, a hold at 1.1850 could produce a turnaround and lead prices to the top at 1.2000.
USD JPY breaks higher
The yen inched lower as the dollar rebounded across the board. The pair is currently consolidating after moving over 300 pips, as the rally stalled at the round number of 156.00, suggesting that buyers are still in the market. 155.20 is the first obstacle to lift to initiate a meaningful extension higher, otherwise 152.00 becomes the next target lower, and a break here could lead prices towards 150.00.
SPX 500 grinds all-time high
The S&P advanced to a fresh peak before running into resistance at the psychological 7000 level. Price action is at a crossroads, with the next step shaping the direction for the early months of the new year. A bullish breakout would bring in momentum traders at first and trigger a runaway rally, paving the way for fresh highs. However, a retreat below 6800 would force more buyers to take profit in addition to fresh selling from the bears, potentially triggering a correction.
