Equities based for most of the day yesterday, but that was after a gap-up, so they closed up a decent amount. Futures are down slightly, but not that much. I wouldn’t be surprised if we had another risk-on day, but I’ll still mostly take the baskets at face value
I don’t see anything I love as a pair, but looking at equities and how things are moving, I think I will entertain the idea of a counter-trend trade. I’ll look at AUD to the long side and JPY, USD and CAD to the short side, and I won’t chase — quick, within the day, time-frame.
USD – N – This has pushed down again today, stalled out near some resistance (but still a little above that area) and rallied. Even if this does push back to the day’s lows, I don’t think it has that much room to run
CAD – S/N – This is down a good amount this morning and is certainly starting to look weak. It’s sitting on top of a support level right now, so I’m comfortable seeing what this looks like on individual charts
EUR – N – This is still in the middle of a range and all of he recent candles have huge wicks and small bodies. I’ll hold off on EUR for now
GBP – N – This had a huge spike yesterday, it was up almost 1% yesterday morning, but it closed at +.2% — so the sellers definitely won out. Today, this is down again, but the whole candle is within yesterday’s and the body is within yesterdays body as well. There’s also a good amount of support where price currently is. I like this to the downside, but maybe not until tomorrow — I’ll try to keep an eye on this throughout the day — Watch this to the SHORT side
JPY – N – This still looks like USD. It’s down a little for the second day in a row, but it’s stalled at some support. I’m also more risk-off in my overall sentiment, so I don’t want to chase a short trade here, so I’ll hold off
AUD – N – Inverse USD and JPY. It’s right at a strong support/resistance level, too, so I don’t think I want to try to take a stab at a counter-trend trade today, so I’ll hold off until it either proves out a reversal, or returns to the downside
NZD – N – This is basing now — has been for 4 days. I’ll hold off here, for now, especially since it’s close to, but not quite at a pretty strong resistance level.
CHF – N – This rallied yesterday, and closed higher. And today it’s up slightly again, but sitting near it’s open. I see a lot of indecision here, so I’ll hold off