The Australian Dollar rallied to a fresh three-and-a-half-year high above 0.7140 this week after the Reserve Bank of Australia (RBA) reinforced its hawkish stance. 🔗 Source 💡 DMK Insight The Aussie Dollar’s surge above 0.7140 signals strong bullish momentum, driven by the RBA’s hawkish tone. This rally isn’t just a fluke; it reflects broader trends in commodity prices and global interest rates. Traders should note that a strong Aussie often correlates with rising commodity prices, particularly in iron ore and gold, which are vital to Australia’s economy. If the RBA continues to signal rate hikes, we could see the AUD maintain its strength, potentially testing resistance levels around 0.7200. However, it’s worth considering that overbought conditions could lead to a pullback, so keep an eye on the RSI for signs of divergence. On the flip side, if global economic data disappoints or if geopolitical tensions rise, the AUD could face downward pressure. Watch for any shifts in market sentiment or economic indicators that might affect risk appetite. The immediate focus should be on the upcoming economic releases from Australia and the US, as these could provide further direction for the AUD. 📮 Takeaway Monitor the AUD closely; a break above 0.7200 could signal further gains, but watch for potential pullbacks if global sentiment shifts.

The New Zealand Dollar firmed to around 0.6057, its highest level in two weeks, as markets assessed the Reserve Bank of New Zealand’s (RBNZ) policy outlook ahead of its February 18 Monetary Policy Statement. 🔗 Source

OCBC analysts Sim Moh Siong and Christopher Wong note that USD/KRW has traded lower on Dollar weakness, stronger JPY, pro-risk sentiment and sizeable foreign inflows into Korean equities, with the KOSPI outperforming regionally. 🔗 Source 💡 DMK Insight USD/KRW is feeling the heat from a weaker dollar and stronger JPY, and here’s why that matters: The recent drop in USD/KRW highlights a shift in market sentiment, driven by a combination of dollar weakness and a robust performance from the Japanese yen. This is significant for traders, as it suggests a broader risk-on environment, with foreign inflows into Korean equities boosting the KOSPI. If this trend continues, we could see further depreciation of the dollar against the won, especially if pro-risk sentiment persists. Traders should keep an eye on key resistance levels in USD/KRW; a break below recent lows could trigger more selling pressure. Additionally, watch for any shifts in foreign investment flows into Korea, as they can impact the currency’s strength. On the flip side, if the dollar rebounds due to unexpected economic data or geopolitical tensions, we might see a quick reversal in this trend. For now, monitor the USD/KRW pair closely, especially around psychological levels that could signal further moves. The next few trading sessions will be crucial in determining whether this trend has legs or if it’s just a temporary blip. 📮 Takeaway Watch USD/KRW closely; a break below recent lows could signal further weakness, especially with ongoing foreign inflows into Korean equities.

The Japanese Yen strengthened past 153 per US Dollar on Thursday, rising for the fourth straight session after Prime Minister Sanae Takaichi’s decisive general election victory on February 8 gave her a clear mandate to pursue expansionary fiscal policy. 🔗 Source 💡 DMK Insight The Yen’s rise past 153 per USD signals a shift in market sentiment following Takaichi’s election win. Traders should note that this strength comes from expectations of increased government spending, which could lead to inflationary pressures. If the Yen continues to strengthen, it may impact export competitiveness for Japanese companies, particularly in sectors like automotive and electronics. Watch for resistance levels around 150, as a break below could trigger further bullish momentum. Conversely, if the market perceives the fiscal expansion as unsustainable, we might see a quick reversal. Keep an eye on upcoming economic data releases and Bank of Japan statements for clues on future monetary policy adjustments. The immediate focus should be on how this affects correlated assets like Japanese equities, which could react strongly to currency fluctuations. 📮 Takeaway Watch for the Yen’s movement around 150; a break could signal further strength, impacting Japanese exports and equities.

The Pound Sterling edged higher to 1.3640 on Thursday, recovering from an earlier pullback after stronger-than-expected US jobs data initially weighed on the pair. 🔗 Source 💡 DMK Insight The Pound’s rise to 1.3640 signals resilience amid US job data volatility. Stronger US jobs data typically strengthens the dollar, which can pressure GBP/USD. However, the Pound’s recovery suggests traders are pricing in potential UK economic strength or a shift in sentiment. Keep an eye on the 1.3600 support level; a break below could trigger further selling. Conversely, if the Pound holds above this level, it may attract bullish momentum, especially if upcoming UK economic indicators show improvement. This dynamic could also ripple into related pairs like EUR/GBP, where a stronger Pound might lead to a weaker Euro. Here’s the thing: while the immediate reaction to US data was bearish for GBP, the recovery indicates a potential shift in market sentiment. Traders should monitor upcoming UK economic releases closely, as they could either reinforce or undermine this bullish trend. Watch for resistance around 1.3700, which could be a key level for breakout traders. 📮 Takeaway Monitor the 1.3600 support level for GBP/USD; a hold above could signal bullish momentum, while a break below may lead to further declines.

The Pound Sterling tumbles on Thursday, down 0.36% in the day as risk aversion boosted the safe-haven appeal of the Japanese Yen. Renewed AI disruption fears sent Wall Street plunging, while haven assets like Gold, Silver and the US Dollar failed to gain traction. 🔗 Source 💡 DMK Insight The Pound’s 0.36% drop signals deeper market anxieties, especially with Wall Street’s recent plunge. Risk aversion is clearly in play, pushing traders towards the Yen, which often benefits in turbulent times. This shift could indicate a broader trend where currencies perceived as risky, like the Pound, may continue to face pressure. If the Pound breaks below key support levels, it could trigger further selling, especially if the US Dollar remains strong. Watch for the upcoming economic data releases that could either reinforce or alleviate these fears. Keep an eye on the correlation between the Pound and safe-haven assets—if Gold and Silver start to rally, it might suggest a flight to safety that could further impact the Pound negatively. On the flip side, if the market stabilizes and risk appetite returns, we could see a rebound in the Pound. But for now, it’s prudent to monitor the 1.35 level closely; a breach could open the door to more downside. 📮 Takeaway Watch the 1.35 support level for the Pound; a break could signal further declines as risk aversion persists.

The recent price action for Applovin Corporation (APP) has shifted from expansion to correction. The stock is currently experiencing significant selling pressure, moving lower to test a critical structural support. 🔗 Source 💡 DMK Insight Applovin’s shift from expansion to correction is a red flag for traders watching for support levels. With the stock testing critical structural support, this could signal a potential reversal or further decline depending on how it holds up. If selling pressure continues, it might push APP below key support, triggering stop-loss orders and exacerbating the downward momentum. Traders should keep an eye on volume trends as well; high volume on selling could indicate a more sustained downturn. Conversely, if the stock manages to bounce back from this support, it could present a buying opportunity for those looking to capitalize on a rebound. Watch for any news or earnings reports that could impact sentiment in the near term, as these could be catalysts for volatility. 📮 Takeaway Monitor Applovin’s structural support closely; a break below could lead to increased selling pressure, while a bounce might present a buying opportunity.

Vertiv Holdings, LLC (VRT) is a provider of critical digital infrastructure and continuity solutions. The stock just delivered one of those rare trading days that gets everyone’s attention. 🔗 Source 💡 DMK Insight So Vertiv Holdings just had a standout trading day, and here’s why that matters: the stock’s performance could signal shifts in market sentiment towards tech infrastructure. With SOL currently at $78.45, traders should consider how this might impact related sectors, especially those tied to digital infrastructure and cloud services. If VRT continues to gain traction, it could lead to increased investment in similar stocks, potentially lifting SOL as well. Look for VRT’s next moves—if it breaks above recent resistance levels, it could attract more bullish sentiment across the board. Keep an eye on the broader tech market trends; if there’s a rally, SOL might benefit from the spillover effect. But be cautious: if VRT’s momentum stalls, it could drag down related assets, including SOL. Watch for key support levels in VRT, as they could provide insight into the overall market direction. In the coming days, monitor VRT’s trading volume and price action closely; a sustained upward trend could indicate a broader recovery in tech stocks, which would be a strong signal for SOL traders to consider their positions. 📮 Takeaway Watch VRT’s resistance levels closely; a breakout could signal bullish momentum for SOL, currently at $78.45.

MUFG’s Senior Currency Analyst Lloyd Chan expects USD/MYR to keep trending lower, targeting 3.7000 by end‑2026 as a more durable Ringgit appreciation cycle develops. 🔗 Source 💡 DMK Insight USD/MYR is on a downward trajectory, and here’s why that matters for traders: MUFG’s forecast of a target at 3.7000 by the end of 2026 signals a potential long-term trend shift for the Malaysian Ringgit. This could be driven by a combination of factors, including improving economic fundamentals in Malaysia and a possible weakening of the USD as global interest rates stabilize. Traders should keep an eye on the broader economic indicators, particularly inflation rates and central bank policies, as these will influence currency strength. If the Ringgit continues to appreciate, it could impact related markets, such as commodities and emerging market equities, which often correlate with currency movements. But don’t overlook the risks—if the USD strengthens unexpectedly due to geopolitical tensions or economic data surprises, it could derail this forecast. Watch for key levels around 4.0000 for USD/MYR, as breaking below this could trigger further selling pressure. Keep an eye on the monthly charts for signs of sustained momentum in the Ringgit’s favor, and be prepared for volatility as market sentiment shifts. 📮 Takeaway Monitor USD/MYR closely; a break below 4.0000 could signal further declines towards 3.7000 by 2026.

Gold price (XAU/USD) faces some selling pressure around $4,910 during the early Asian session on Friday. The yellow metal tumbles over 3.50% on the day, with algorithmic traders appearing to amplify the precious metal’s sudden drop. 🔗 Source 💡 DMK Insight Gold’s sharp drop of over 3.50% signals a potential shift in market sentiment. With prices hovering around $4,910, traders should consider the role of algorithmic trading in this volatility. These automated systems can exacerbate price movements, leading to rapid sell-offs that might not reflect underlying fundamentals. This could indicate a broader risk-off sentiment in the market, possibly driven by macroeconomic factors or shifts in investor confidence. Keep an eye on key support levels; if gold breaks below $4,850, we could see further downside, while a rebound above $5,000 might signal a recovery. Also, watch related assets like silver and the US dollar, as their movements can provide additional context. If the dollar strengthens, it could put more pressure on gold, while a weakening dollar might help stabilize prices. The immediate focus should be on how algorithmic trading reacts to any news or economic data releases, as this could dictate short-term price action. 📮 Takeaway Monitor gold closely; a break below $4,850 could trigger further declines, while a recovery above $5,000 may indicate a reversal.