Yan Yuxi: British And Japanese Domestic Affairs Boost US Index Soaring

On Tuesday (September 2nd), the main non US currencies declined more broadly against the US dollar in addition to the stabilization of the euro which had fallen earlier. This has also contributed to the continued growth of the US dollar index, which ended at 83 level and once exceeded the 83 integer pass. But the US dollar did not come from the fundamentals. There was no other bright spot before the New York time on Tuesday. Apart from Australia's reserve bank's announcement of a flat interest rate resolution, the US dollar index began to rise all the way from the early morning of Asian market. The economic data released by the United States before noon in New York were better than expected, which made the US fingers further expand. Data released during the New York time show that US construction expenditure in July rose 1.8%, better than the expected value of 1%, which is much better than that in June. At the same time, the US ISM index of manufacturing in August was 59, which is also better than the market expectations and 57 of the previous -1.8%.

　　 Yen The sharp fall in the pound is undoubtedly the hero of the rise in the US dollar index on Tuesday. On Tuesday (September 2nd), the USD / JPY broke a strong 104.40 resistance level, and the New York period broke through 105 resistance levels. The exchange rate followed the rising Nikkei index, which was highly correlated. This was mainly prompted by the news of the cabinet reorganization of Japan on Wednesday. Abe, Japan's prime minister, probably referred to Yasuhisa Shiozaki, vice president of the LDP, as Minister of health, labour and welfare. Since Yasuhisa Shiozaki is the official of the ruling party, which is the most advocate of government retirement pension investment fund GPIF diversified investment, if he can take office, it is expected to accelerate the diversification of GPIF investment, and diversification may boost the domestic stock market in Japan.

In Britain, Scotland A referendum will be held in September 18th to decide whether to remain in the UK or to establish an independent state. There are only two weeks away from the referendum, but the latest polls show a record record of independence in Scotland, resulting in a decline in the pound / dollar on Tuesday (September 2nd) to a low of nearly five months, and the biggest jump in the cost of hedging in the three year. If Scotland's referendum results support independence in September 18th, even if market expectations of interest rate rises on the BOE are stronger, the future trend of sterling will be hit hard. As the September 18th draws near, investors are expected to continue to avoid the pounds.

Day to day operation strategy:

EUR / USD: intraday proposal to find opportunities to sell short. Reference short selling interval: 1.3145-1.3150, short stop loss: 1.3170 above, empty reference target: 1.3120, 1.3100, 1.3080.

GBP / US dollar: it is recommended within the day to seek opportunities for short selling. Reference short selling interval: 1.6500-1.6530, short stop loss: 1.6560 above, empty reference target: 1.6440, 1.6400, 1.6340.

　　 dollar Yen / yen: it is suggested that we should look for more opportunities. Reference interval: 104.70-104.50, multi head stop loss: 104.20 below, bull reference target: 105.20, 105.40, 105.60.

Australian dollar / US dollar: we suggest that we should look for opportunities to buy more opportunities. Reference interval: 0.9260-80, multi head stop loss: 0.9250 below, bull reference target: 0.9310, 0.9330, 0.9350.

Spot gold: it is recommended within the day to find opportunities to sell short. Reference short selling interval: 1269-1270, short stop loss: 1280 above, empty reference target: 1260, 1255, 1250.