UJPY - A Technical Word Ahead Of Macro Events

• The dollar had been trading heavily, but it seemed as we entered the last week of October that it was unreasonable to look for a downside breakout given the new acute contagion in Europe and what by all accounts would be a dovish ECB press conference.
• The one-two punch of the escalated social restrictions in the face of the surging pandemic and the dovish ECB saw the euro buckle to $1.1660, a new low for October, though above the September low (~$1.1610).
• As stocks were selling off hard on October 29, the dollar tested key support near JPY104.00.
• The US dollar rose by about 1.6% against the Canadian dollar last week, the most since March.
• The Aussie held important support at $0.7000 last week, but the subsequent price action was not inspiring, and it finished the week near $0.7030.

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