Michael Bridgman

There was not much in the way of economic or geopolitical news to stir the markets up today.  As the U.K. session got underway, the EURUSD put in a bottom at its Asian lows.  After trading sideways for 3 hours, it began to move up, and we entered long.  Our first goal was to get through Friday’s low then upward to today’s Asian high and beyond to our daily target at 1.1843.

Price moved up to test Friday’s low before pushing higher but reversed in advance of the U.S. open – and our trade was closed at our profit stop.  Due to the 5:1 R/R the trade had appeal but didn’t materialize in overall lackluster trading activity.

Let’s hope the trading picks up this week and Wednesday looks like it has the potential to be active.

Good luck with your trading!

 

As the U.K. session got underway the USDCAD attempted to test its Asian lows but found buyers.  With a 12 pip stop loss for a potential 61 pips to our daily target – we entered the trade attempting first to get above yesterday’s lows and secondly above the Asian session high.  Price moved up, retested its Asian high before moving higher.  With lots of pending news in the U.S. session, profit taking caused a reversal and we exited the trade well in advance of our target price of 1.2506.

The USD continues to struggle this week despite a near 80% consensus of a December rate hike.  Some of the FED members remain cautious about the effect of interest rate hikes at this time slowing the economy while inflation remains lower than expected.  If this sentiment remains, there becomes less optimism about 3 interest rate hikes in 2018.  President Trump has been thwarted in getting some of his election campaign promises through and hence his planned stimulus for the U.S. economy continues to be delayed.

Trading has been slower than expected for me since returning from holidays.  Most trades lately have been for modest gains and not worth the time required to post them.

Good luck with your trading!

 

 

 

The ECB minutes yesterday revealed little regarding QE tapering.  As a result, we had our eyes on the EURUSD today.  After a third lower high in the U.K. session, and close bearishly below its Asian high, an entry was taken risking 9 pips for a potential 56 pips to our daily target.  Price continued downward oscillating between at its Asian low and yesterday’s low – in advance of the U.S. open.   With a profit stop just above the Asian low, we awaited a further push to the downside.  As the European session ended priced moved down further and we closed the trade at our daily target.

Be careful tomorrow with Non Farm Employment release being typically one of the more volatile trading periods.  We will be back after the long weekend here in North America.

Good luck with your trading!

 

 

The USD continued downward today and the U.S. 10 year yield was off over 3% again.

A short setup in the USDJPY during the U.S. session overlap – allowed us to risk 21 pips for a potential 46 pips to our daily target with 2 hours left in our trading session.  Price moved lower and we quickly locked in some profit removing any risk to the trade.  Price continued downward to our target and we exited.

After ECB President Mario Draghi speech today the EURUSD moved above the 1.2000 level once again and we will see if it can sustain this level or not.

I will be away until the last week of September, but if I find a trade tomorrow, I will post it.

Good luck with your trading!

 

On Wednesday the EURUSD moved sideways during the first half of the U.K. session then broke its range just in advance of the U.S. open.  A short was taken and a strong USD took the pair lower.  This trade was a little frustrating as price spiked down on the U.S. economic releases but began to bounce right back up.  We closed the trade quickly to prevent giving back too many pips with the volatility associated with news events.

On Thursday after a very bearish daily close from Wednesday, we were still watching the EURUSD for further signs of weakness.

On Tuesday the EUR had briefly tested the 1.2000 level, then took out the stops on the upside before retreating lower.  Mario Draghi’s press conference next Thursday will be closely watched by traders for any comments on the trade weighted appreciation this year and the effect on growth above inflation projections.  In other words, will Mario Draghi put an end to the EUR appreciation trend next week?  This will be foremost on traders’ minds.

Today the EURUSD moved lower after a slow start to the U.K. session then found its bottom very early in the U.S. session.  The disappointing pending home sales release had a sobering effect on recent USD strength and the EUR fell short of testing the 1.1800 level – instead it reversed higher to test 1.1900 as the U.K. session ended.

Tomorrow the market will be focused on the U.S. Non-Farm Employment Change and we will be enjoying an extended weekend as Monday is a holiday in North America.

Good luck with your trading.  Back next week.

 

 

After the GBPUSD pushed lower during the Asian session, the U.K. traders moved it back up to test yesterday’s highs.  As the U.S. session got underway price began to reverse lower and a short was taken risking 12 pips for a potential 61 pips to our daily target.  Price continued lower closing below its Asian high and despite looking very bearish at the European close, it reversed upward closing our trade.

Tomorrow after the U.K. session ends, Fed Chair Janet Yellen and ECB President Mario Draghi will be speaking.

Good luck with your trading!