Archives for July 2019

Fed Chair Powell’s comments yesterday were perceived as dovish enough for many traders to consider a 50 bp cut at the end of the month. Hence the USD sell-off yesterday.

Today early in the U.S. session overlap, the GBPUSD set up for a short… risking 13 pips for a potential 63 pips to our daily target at 1.2496. Price moved down to test its Asian session high and long lower wicks began to form. We tightened our stop loss accordingly and gave back some pips as price moved up closing the trade at the Asian session high.

Boris Johnson is inching closer to becoming Britain’s next prime minister. Governor Carney has reiterated the material risks of economic disruption from a no-deal Brexit.

The GBPUSD tends to find some buyers at the 1.2500 figure, but this level is no longer strong support.

Stay disciplined and accept what the market gives you.

Good luck with your trading!

Currency daily ranges in the majors have been subdued for some time now, likely due to the uncertainty of progress with the U.S. – China trade talks.

It’s difficult to get too excited about trades under 20 pips, so I prefer not to take the time required to post them. I will make an exception today because I haven’t posted a trade for a couple of weeks. The small trades add up, but it seems like we need twice as many trades lately. This will pass, but in the meantime I won’t be posting many small trade examples.

Today with continuing USD strength after the impressive NFP number on Friday, a short was taken in the AUDUSD risking 6 pips for a potential 46 pips to our daily target at .6938. The setup looked good, price moved downward and we closed the trade at the U.K. close for a very modest gain.

It would have been nice if price had moved to at least Friday’s low before the close but it wasn’t to be.

Tomorrow early in the U.S. session, Fed Chair Powell will be speaking and traders will be listening closely for any hint of a rate cut exceeding 25 basis points this month. As President Trump’s harsh criticisms of the Federal Reserve continue, the market will be looking for signs of Jerome Powell capitulating… or not.

Good luck with your trading!