Currency daily ranges remain subdued as the U.S. – China trade talks on again off again nature has constrained trading. A healthy skepticism for the Phase one signing by year end or even before the U.S. election is warranted. We hope it’s the former and not the latter.

Today as the USD continued to weaken, a long was taken on the NZDUSD risking 8 pips for a potential 38 pips to our daily target at .6565. The setup was nice, but the trade was closed at the end of the U.K. session yielding about half of what we were expecting.

There were also some setups on the GBPUSD and USDJPY, but they too didn’t amount to much. With the current back and forth volatility of the market, I prefer to get out and get back in than to weather retracements and give back the majority of my profit.

On Wednesday as the USD continued lower, a long was taken in the EURUSD risking 8 pips for a potential 35 pips to our daily target at 1.1108. Price began to move higher in advance of the U.S. session and we moved our stop loss to plus two pips, before the opening.

Price moved vertically higher to our target where we exited after protecting our profits along the way. Price subsequently reversed and retraced the move back near the session low – before the U.K. Close.

Tomorrow we have the U.S. Non-Farm Payroll release which if missed by a large margin could bring the USDX down to test its November 1st low and possibly the August low… if further releases disappoint or if tariff talks end the week negatively.

Trade cautiously tomorrow and good luck!

China’s Caixin manufacturing PMI beat expectations yesterday and the USD started the week softer and declined further with a disappointing ISM manufacturing PMI for November.

With the weaker USD versus the majors, a long was taken in the EURUSD risking 10 pips for a potential 20 pips to our daily target at 1.1031. It didn’t take long for the pair to rise through our target level and we were able to stay in the trade moving our profit stop up as the USD sank further.

The pair remains range bound between 1.0980 and 1.1180 – trading in the direction of USD strength/weakness.

Good luck with your trading!

Over the weekend tension resurfaced with the U.S. – China trade talks once again and the USD weakened on Monday. The market is becoming skeptical of a Phase One signing being imminent and as the rhetoric commences about an increase in tariffs if an agreement is not signed – the market is being cautious of the implications.

Today a short setup was found in the USDJPY risking 8 pips for a potential 44 pips to our daily target at 108.32. The trade moved down to test its Asian session high, before retracing slightly going into the U.S. open. Price then moved lower and tested its Asian session low where buyers entered… and the pair retraced going into the London close and closed our trade just above the 108.50 level.

In the U.K. tonight, the leadership debate will be interesting and the Conservatives currently have the lead over the opposition Labour Party. The market appears to be positioned long the GBP as the Conservative lead grows stronger for Prime Minister Johnson.

Good luck with your trading!

The EURUSD 1.1000 level has been supportive all week. The USD was unable to get any sustained traction higher.

Today the EURUSD began to move higher and a long was taken risking 8 pips for a potential 25 pips to our daily target at 1.1047. The 1.1050 – 1.1065 level is likely to attract shorts on any USD strength… which was not evident today.

Price slowly climbed to test and retest its Asian session high and yesterday’s high in advance or the U.S. open. There were lots of U.S. economic news releases today, so we moved our profit stop up to protect our gains and closed the trade at our target price of 1.1047.

My preference will be to short this pair next week for a retest of 1.1000 on a day of USD strength. With continued USD weakness, my preference will be to go long for a test of the 1.1100 figure.

Enjoy your weekend and good luck with your trading!

The USDX continued to stall near recent highs and the sentiment was “risk off” today. Even the EUR and GBP were able to climb versus the USD.

The USDJPY moved to its Asian session low and oscillated just above and below this level going into the U.S. session overlap. After it failed to make a new high for the London session, a short was taken risking 7 pips for a potential 27 pip to our daily target at 108.36

Price moved down gradually to and through our target level. We closed the trade as it began to reverse going into the London close.

The 1.1000 level is still supportive for the EURUSD. Fading the current up move is of interest targeting another test of the 1.1000 level if we see some USD strength tomorrow.

Good luck with your trading!

As the market digested President Trump’s speech yesterday and awaited today to see if Fed Chair Powell would add anything new, risk sentiment was cautious.

After the USDJPY tried to move above its Asian session high, and failed, a short was taken risking 12 pips for a potential 36 pips to our daily target at 108.67. Price moved down to test its Asian session low and bounced 10 pips higher before making a new wave lower to our daily target.

This pair appears to be moving in a channel between 108.50 and 109.50 at the moment. Look for buyers near 108.50 and sellers near 109.50.

in the U.K. election developments, P.M. Johnson’s Conservatives continue their lead over the Labour party as the prime minister promises to end the Brexit “groundhoggery” and deliver Brexit. In the meantime the pair appears to be trading between 1.2780 to 1.3000. Keep stops tight as the range continues.

The EURUSD continues to test the 1.1000 level where buyers have been entering. A continued break below, particularly after a retest of 1.1000 opens the 1.0900 and 1.0800 levels for shorts.

Good luck with your trading!