What Happened Yesterday
USD Breaks it’s Bearish Shackles. The USD was saved on Friday by much better than expected GDP and Durable Goods data and starts the week on a positive note.
But don’t get too excited just yet as it’s a Chinese, UK and US holiday today so we may have to wait another day before things really take off.
The market didn’t seem too bothered about the worse outcome for the Durable goods excluding Transportation.
What’s Happening with the Majors
Most major currency pairs are trading within recent ranges with the exception being GBPUSD which was sold off aggressively on the back of Election Polls showing the a narrowing lead for the ruling Conservatives before elections next month.
The Conservatives need a big election result to strengthen their position on potential Brexit agreements/issues coming up.
Euro looks primed for a move lower and with Draghi speaking later today anything is possible.
AUD & NZD are trading very quiet within recent ranges and the Beast is back around 111.30 after a quick stop loss run below 111.00 on Friday.
We’ve got Non-Farm Payroll’s this Friday
It’s important to plan your week especially when there’s extremely high impacting US data scheduled and the US employment data fits that bill.
The Non-farms has a habit of dominating all media attention especially the closer it gets.
By Thursday the markets will be slowing down as traders await the data before the next big trade.
So just remembered to put this into your trading schedule. After all there’s no point staring at your screens on Friday in Asia when we know the market will be dead all day.
Get organised early and plan ahead. Here’s our Weekly Game Plan for this week.
The Benefits of a Dynamic Entry & a Bit of Patience
I’ve been having a good run of late and USDYEN didn’t disappoint on Friday. But it took a bit of patience and a unique trading tool to get the job done.
I placed the order on Thursday during the Asian session and it didn’t get triggered until Friday in Europe. That’s a good 28 hours waiting to be triggered.
The original entry level was 111.18 but by the time the trade was triggered the entry level was at 111.44. This was done using Trendline Trader as it tracks the trendline higher making sure the entry level is in the optimum location.
It was a shame I was having a few beers Friday night as I closed the position a little early and left some cash on the table. But I didn’t want to risk the trade over the US data so I locked in 20 pips and closed it out.
The good part of the trade was I leveraged 4 times the usual trade size on this order, so it still netted me a good 10% return with only 20 points. Damn shame it didn’t collapse!
Pro Members Important Note: The Next Best Trade has just been updated and the order is active in the market awaiting execution.
What to Expect from the Market today – Monday 29th May
It’s going to be very quiet….
It’s a UK holiday so it should be reasonably quiet. Keep an eye on Super Mario as he is due to speak today. If anything is going to happen today it’ll be around this event.
North American Session:
US Holiday – Memorial Day – It’ll be very quiet… Go Yankees!
Tune up your charts and get ready to trade.
See you in the Live Trade Zone.