If you look back at last week's article, you'll certainly notice a small inconsistency. Since the publication of the US consumer price index, US bond yields have eased sharply, with the 10-year rising from 4.80% to 4.60%. Although the dollar has fallen slightly over the period, it would be somewhat premature to speak of a trend reversal, both for bonds and for the dollar itself. Thus, on the EURUSD, the trend remains bearish as long as the 1.013/29 level is not breached. We can draw a parallel between support at 4.49% on the 10-year and resistance at 1.2400/10 on British cable.

The same applies to other cross-dollar currencies. The USDJPY remains well oriented above 154.10, a level that more or less corresponds to the 100-day moving average, while the key support zone on the USDCHF is between 0.9000 and 0.8960. No significant change in commodity currencies. USDCAD is attempting to break out of a flat consolidation between 1.43 and 1.4460, while AUDUSD and NZDUSD remain under bearish pressure until the 0.6315 and 0.5730 levels are breached.

In other news, there's an interesting potential configuration on EURGBP, which is testing a symmetry at 0.8466/90. In other words, we'll be on the lookout for any sign of weakness around this resistance to take a short position on the cross.