I always emphasise to keep an open mind and to trade what you see and not what you think and Monday’s market start further proves this point. It all looked rather ominous at the end of last week but positive risk appetite was back in play with US stocks closing higher and there have already […]
The USD/CAD has been shaping up in my preferred chart pattern of a descending wedge for some time now. The upper trend line of this wedge is currently being tested and, with recent US$ strength, this might be worth watching for any momentum-based breakout and mean-reversion move. This week brings NFP so watch to see […]
The focus today has been all about the Bond rout and the yin and yang consequential spike with yields and this is being reported as the reason for the move out of stocks. I am a chartist and not an economist but I understand the relationship between Bonds and yields. However, I am reading, from […]
The US$ is looking a bit weak ahead of Tuesday’s Fed Chair Powell testimony so watch this event to see if it shifts sentiment at all. Regular readers will recall how I warn that trading is better off shorter-term charts when the FX Indices are stuck in the 4hr and or daily Cloud and this […]
Support for the US$ faded on Thursday and this means the US$ index remains within the resistance of the daily Cloud. Most charts are little changed and look to be in holding patterns ahead of Friday’s batch of high impact data. The one exception was the Cable which popped and triggered a decent breakout.