Michael Bridgman

The USD continues to strengthen and the GBPUSD continues to trend lower. Since the middle of March, this pair has been moving lower – making a series of lower highs.

Price tested its Asian session high today as U.K trading began and reversed lower. We entered short risking 8 pips for a potential 42 pips to our daily target at 1.2857.

Price moved lower testing and retesting its Asian low and yesterday’s low. After leaving a long lower wick, we tightened our profit stop – removing risk from the trade, and continued to lock in profit as price appeared to stall. The trade was closed in advance of the U.S. session. It’s very common to see a retracement wave in advance of the U.S. session as traders take profit, so it’s better to lock in profit than to give it back.

As the Brexit drama continues with delays and little progress, this pair continues to be a favourite of mine.

I will be away tomorrow.

Good luck with your trading and enjoy your weekend!

A fairly straightforward short today with the GBPUSD. Its attempt to move and stay above the 1.3000 figure failed and it moved down making a lower high. A short was taken risking 11 pips for a potential 27 pips to our daily target at 1.2974.

Price moved down and penetrated 2 technically important levels from the daily chart. We adjusted our profit stop to lock in profit and allow a retest of the daily technical level. Price continued lower and found buyers in the 1.2927 area. We tightened our profit stop more and after a higher low and our trade was closed before the U.K. Close.

Be cautious trading the GBPUSD due to it’s volatility. Keep stops tight and ensure the reward is worth the risk.

The USD continues to be strong but is testing its 2019 high so expect it to run into some resistance.

Good luck with your trading!

Trading has been very slow the past couple of weeks with tight ranges and light volumes. It’s been difficult to be rewarded for more than 10 or 15 pips trading the majors.

It seems like the market is waiting on it’s next big move…perhaps a favourable completions to the U.S. – China trade tariff talks, continued stronger than expected U.S. growth, signs of inflation in the E.U. or a resolution between the E.U. and Britain regarding Brexit will get it going again. The latter two scenarios are long shots at the moment.

The NZDUSD and AUDUSD have been moving lock-step lately but on Wednesday the NZDUSD dropped heavily and has been unable to recover… as it makes lower highs. It set up for a short trade today risking 11 pips for a potential 42 pips to our daily target at .6672.

Price moved down through the first half of the U.K. session and continued down as the U.S. session got underway – falling just short of our target as we exited the trade at the U.K. close.

I continue to remain USD bullish.

Enjoy the Easter long weekend. I am extending mine until Tuesday.

Good luck with your trading!

A very simple trade today in the AUDUSD as it failed to remain above its Asian session highs – after the poor JOLTs job openings release in the U.S. session overlap.

A short was taken risking 6 pips for a potential 49 pips to our daily target at .7098. Price moved lower to test yesterday’s high where it went sideways and the trade was closed at the end of the U.K. session.

Wednesday will be a busy day new wise as we have the ECB, FOMC and crude oil inventories…with oil being very topical of late.

Good luck with your trading!

A very orderly move in the GBPUSD today as it made a “3 Drives” pattern downward. The first drive was from its Asian session high to its Asian session low – where it rested and went sideways. The second drive was down and through yesterday’s low – where it rested again before its third drive downward to the European close – before going sideways into the U.K. close.

A short was taken after the U.S. session initial jobless claims release…risking 12 pips for a potential 78 pips to our daily target at 1.3052. Price moved lower, closing below yesterday’s low. We removed the risk from the trade by moving our profit stop to plus 3 pips and allowed for a retest of yesterday’s low. Price went sideways before beginning to move lower. We continued to lock in profit and closed the trade at the U.K. close.

I will be away tomorrow, but it should prove to be an interesting day for traders. The NFP release may allay fears of the U.S. slowdown or exacerbate them. The market is very twitchy at the moment. Traders continue to focus on the positives regarding the progress made in the U.S. – China trade talks, and the negatives of Brexit and its implications for Britain and Europe. Once the U.S. – China trade talks are resolved, we may find Europe up next, in President Trump’s cross hairs…specifically Germany’s auto sector.

Good luck tomorrow!

Early in the U.S. session the GBPUSD attempted to move above its Asian session high and failed. After it began moving down, a short was taken risking 15 pips for a potential 117 pips to our daily target at 1.3052. Price continued downward then bounced at its Asian session low where it began to find buyers.

This trade although very risky due to the GBPUSD’s potential for extreme volatility, became less so by moving the stop loss down with almost every candle…thereby locking in profit.

Although the USD strength took a breather today, gold was also off, as was oil. Equities and bond yields moved marginally higher

The trading signals have been a little mixed this week.

Good luck with your trading!