It looked entirely likely mid trading day yesterday, that EUR/USD was about to sprout wings, after News sent it (somewhat counter the news) on a Northerly ‘test flight’. The market remembered what day and week it was however and clipped EUR/USD’s wings, sending earth bound, back to the psychological number. Unable to enter on the news, we enjoyed Euro’s moment of glory via our S&R EUR/JPY trade which has now hit target, allowing us to bank 100pips. Nice start to NFP week.
DP has nestled a little closer to WP, depicting the ranging nature of early NFP week. Despite significant News announcements today, I expect that will continue, in anticipation of what tomorrow and Friday’s bigger news will bring. In particular, lots of speculation that ECB will act on interest rates! Should that be the case, EUR/USD will NOT be at 1.3600 come Friday! I’m not keen to trade outside this range again today but that doesn’t mean I won’t be watching INSIDE!
The Day Ahead
Small stakes are the order of the day as the market prepares for big News ahead. Same modus operandi – setups at Hot Spots – no change.
High Impact News
|Day 1||ALL||G7 Meetings|
|2:15pm||USD||ADP Non-Farm Employment Change|
|4:00pm||USD||ISM Non-Manufacturing PMI|
Wonderful Wednesday all.