A mixed day so far…
The market has been relatively quiet during today’s Asian session so far with the lack of any important data releases. The overall risk averse tone has somewhat slowed down a bit after yesterday’s news that President Trump has cancelled the planned Korean summit with North Korea. As such, the jpy pairs have recovered some of yesterday’s losses. The biggest loser yesterday was the CAD with negative NAFTA news and oil prices pushing the currency lower.
Our pair selection for today:
Given yesterday’s USD weakness and JPY strength we have chosen the USDJPY as the highest probability pair to look for opportunities today.
USDJPY – M30
USDJPY – H4
Technically, the pair is between two important levels at the moment, these levels are the most recent Support and Resistance levels that needs to be cleared for further moves up or down. In terms of today’s market context, we would like to see a bit more of a retrace towards the recent resistance levels to look for shorting opportunities. However, this trade idea is risky given the fact that any news releases regarding the geopolitical tensions between US and North Korea could change the trade bias drastically.
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Risk Disclaimer: Forex Trading carries a high level of risk. It is possible for traders to lose entire trading accounts if they do not know what they are doing. This post is not an enticement, signal or recommendation to buy or sell any financial instruments. All of the information in this post should only be considered as general market commentary and should never be used as trading or financial advice.
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