Equity futures gapped up yesterday, but have since kind of been basing at a roughly .6% gain. So, it looks like equities may gap-up when markets open, but will they be able to hold on to that strength? There’s some resistance at it’s current level, so I could see it go either way.
I’m going to lean toward equities continuing higher, though, and it being a risk-on day. I’ll keep my mind open to both happening, though.
USD – N – This is sitting right near it’s open, and looks to have a lot of indecision as Friday’s candle closed at it’s open as well. Even if equities do spike, I don’t expect them to do so enough to really push this down, plus there’s a good amount of support outside of the day’s lows — and if equities drop, there’s some resistance above, so it’ll have to move convincingly higher for me to be interested. I don’t love this right now, we’ll see how it moves when markets actually open
CAD – N – This finally pushed through the support level that held up since mid-March, but it looks as though the sellers lost out, because Friday’s candle closed closer to the open than the low. Today, price is up fairly significantly, but is stalled out at that level of support that’s now acting as resistance. I don’t like this right now, but I could see potential to trade this this week
Today’s Pairs
EUR/GBP – Long
EUR/JPY – Long
GBP/NZD – Short
NZD/JPY – Long
EUR – L/N – This is up a good amount, but still well within the range, and stalled out at some resistance. Actually, since it is stalling at some resistance, I’ll look at some EUR charts, in case it can push through that level. This might be a good opportunity just to the top of it’s overall range
GBP – S/N – After forming a nice reverse head-and-shoulders, and appearing to break out, it stalled near the end of the day and closed near it’s open on Friday (I even took a long trade here, ended up basically breaking even). Today, it’s down a good amount, and has already made a lower low than yesterday’s. I don’t want to short this after this recent rally (though, overall this has been down, and I should be bearish) — but actually, this isn’t the first time it’s failed at the 50MA and dropped again. Since it made another new low, and there’s a clear downtrend, I don’t think I really should look to take this long at all. I’ll look to short this today, actually, if it can push through the day’s lows
JPY – S/N – Well, this is down a good amount, and I am assuming a risk-on day, so I can’t not look at this to the short side this morning. There’s more support outside of the day’s lows, but it’s currently pushing down, so it may be stalled at one of those by the time I get to an individual chart (giving me a good entry point)
AUD – N – With this being up already on a risk-on day, I should look at this to the upside, but there’s a pretty significant level of resistance above today’s highs that it’d have to push through for me to like this — and it doesn’t look like it’s getting up there right now. I’ll keep my eye on it to see if it rises throughout the day/week (though I don’t thin this equity strength will last through the week), but I’m going to leave it alone for the most part right now
NZD – L/N – This has made a new high today, and I’m assuming a risk-on day, so I have to look at this. I say “have to” though, because price has pulled all the way back and is sitting at it’s open. This will have to push back up to and through the day’s highs for me to pull the trigger here, so I want to see if that looks reasonable on individual charts
CHF – N – This is down a good amount today, and pushed through some resistance, but is still within the base it’s been in and didn’t push through all of the resistance. I think there’s too much just below today’s lows, so I’m going to leave this alone