10-Yr: -17/32..1.631%.. USD-JPY: 78.65.. EUR-USD: 1.2410

The USD Index has rallied back to its flat line near 82.25 after earlier selling dropped it onto the 82.00 mark.

EUR-USD is +10 pips at 1.2405 as action continues to struggle on the 50-Day Moving Average. If the single currency is able to push through the 1.2400 mark the potential exists for a test of the 100-Day Moving Average near 1.2700.

German industrial production will likely impact tomorrow's action. GBP-USD is +40 pips at 1.5640 as action remains stuck in the middle of its recent range.

The Bank of England's latest Inflation Report will move markets tomorrow morning.

USD-CHF is -10 pips at .9680 and is on track for its worst close since 4 July. Action has been relatively sideways for much of the past two sessions after Friday's decline shaved off close to 150 pips from the pair. Switzerland's SECO Consumer Climate will be released tomorrow.

USD-JPY is +40 pips at 78.65 as action tests resistance in the area.

Traders are paying close attention to the recent "death cross" that has formed in USDJPY with the 50-Day Moving Zverage crossing below the 200-Day.

Japan's current account balance will cross the wires tonight.

AUD-USD is -15 pips at 1.0550 as early strength has turned into losses. The hard currency crossed the 1.0600 level in early action, hitting its best level in 5 months. But, sellers took control and the Aussie now trades on session lows. Short-term support comes into play in the 1.0450 area. Australian home loans are due out late tonight.
USD-CAD is -30 pips at .9970 with today's slide dropping the pair to a three-month low. Today's weakness comes after both Canadian building permits and the Ivey PMI readings both topped forecasts. The .9850 mark will be Key in the coming days/weeks.

Bank of Canada Governor Mark Carney will speak tomorrow in London.

Paul A. Ebeling, Jnr.

Paul A. Ebeling, Jnr. writes and publishes The Red Roadmaster's Technical Report on the US Major Market Indices, a weekly, highly-regarded financial market letter, read by opinion makers, business leaders and organizations around the world.

Paul A. Ebeling, Jnr has studied the global financial and stock markets since 1984, following a successful business career that included investment banking, and market and business analysis. He is a specialist in equities/commodities, and an accomplished chart reader who advises technicians with regard to Major Indices Resistance/Support Levels.