Equities closed lower yesterday after gapping up and closing near the highs on Tuesday. Prices are expected to open weak today, and it looks like another bear move may be forming. Equity correlations are already somewhat showing that, so I’ll lean toward a risk-off sentiment for today.
USD – N – This is up some today, but not a ton — and it’s still in mostly a basing pattern. Equities aren’t suggesting a terribly large down-move, so I don’t see this spiking a ton either. There might be an argument to be made that I could try to take this long to the top of the base, but those are long wicks, so that gives me pause. I’ll just hold off here for now
CAD – N – This is still in it’s base, and it’s at the upper end of it right now and looks a little strong. It’s coming up to a pretty strong level of resistance, though (that it’s already stalled at once). I don’t like this to the upside unless it breaks out of the range it’s in, and since it’s up a good amount, I don’t want to short this. I’ll hold off for now
Today’s Pairs
GBP/JPY – Short
GBP/CHF – Short
EUR – N – This is ranging pretty hard, and is only making fairly small moves within that range. I’m going to continue to leave this alone until it shows more conviction
GBP – S – This dropped a ton today and pushed well out of it’s base. There’s some support where price is now, and it’s pulled back a little already, but that could be the perfect entry signal. I’ll take a look at individual charts to see if this move seems sustained
JPY – L/N – This is on it’s 3rd up-day, and today’s highs got right up to a resistance level. This could move enough on the day to be worth a trade, that said, there are highs from last Friday and Monday that this hasn’t quite reached yet, so that gives me some pause. I’ll take a look at individual charts and see if the R:R Makes sense
AUD – N – This is down a little on the day, but not much, and its sitting on some support. It’s also rallied a decent amount already from it’s lows. I want to short this, but it’s not giving me enough of a sign that I should take a shot today, so I’m going to have to leave this alone for now. I’ll try to revisit this (and all of these) this afternoon
NZD – N – This pushed up and down about .4% on the day already but is currently sitting right at it’s open. This looks like it’s now basing, and there’s a lot of indecision, so unfortunately, I’m going to leave this alone, too
CHF – L/N – This pushed up a decent amount today, but is sitting near it’s open now. It’s up move stalled out at a level of support that’s also acting as a bit of resistance, but if it can push up above that level, I think there’s a decent amount of room for this to run. I’ll look at individual charts to see