Welcome to a new week of trading opportunities
Blimey, it’s nearly the end of January already. The New Year seems a long distant memory now.
Brexit is going to be the main driver early this week as we head to tomorrow’s second meaningful vote. Lot’s of headlines to come no doubt before the vote tomorrow. Expect to hear about the various amendments being tossed about. The big news will be if May puts forward a change to the backstop, that is agreeable to her leave rebels, the DUP and possibly the EU. If nothing like that comes along, it will look like a repeat of the first vote.
Trading today, I’m watching EURUSD as it tries to make its mind up at 1.1400. As I said last week, we’ll need to clear and hold 1.1420 to bring further upside. Fail to do that and we remain in no-mans land. I’m still 1.12-1.15 in the wider range.
USD is soft across the board, 109 will be key in USDJPY. Hold there and it keeps the bounce from the flash crash alive. Fail, and 108 comes into question again.
Other than that, I remain looking for the short-term opportunities and not getting married to any positions.
Have a good day/week.