The NFP week may be over, but opportunity-spotting in forex is forever! Here are the setups and chart levels on the majors that I’m looking at this week.
Weekly Inflection Points to Watch
|Last Week’s High||1.1245||1.2947||104.17||0.9840|
|Last Week’s Low||1.1104||1.1485||102.21||0.9697|
|Top Weekly ATR||1.1263||1.2602||104.55||0.9708|
|Bottom Weekly ATR||1.1101||1.2199||102.30||0.9708|
1-Hour Charts of the Majors
Purple Line: weekly open prices
Blue Line: weekly highs and lows
Red Line: top and bottom weekly ATRs
Blue MA: 100 SMA
Red MA: 200 SMA
3 Potential Catalysts:
1. Brexit-related headlines – As Forex Gump pointed out, part of the reason why GBP crashed last week was that there were no pound bulls willing to balance the scale against the bears. If we see more clues that a Brexit is gonna hurt the U.K.’s economy, then we’ll probably see more pound losses (and not the healthy kind).
2. FOMC meeting minutes – This week the Fed will print its last FOMC meeting minutes. If you recall, Janet Yellen and her gang chose not to raise their rates despite the hype and relatively better-than-expected data coming in. If the Fed turned out to be closer to a rate hike than we anticipated, then we might see gains for the dollar across the board.
3. Oil-related news – Word around the hood is that some major oil players *cough* Iran *cough* won’t be rubbing elbows with the others in the next informal/formal OPEC meetings. Will this mean that we won’t see a concrete action against the oil glut this year after all? I’ll keep an eye on oil-related headlines for their possible impact on overall risk sentiment!
That’s it for the pre-week trading prep this week! How about you? Are you looking at anything interesting for possible trade opportunities?
P.S.: Remember to never risk more than 1% of a trading account on any single trade and to adjust position sizes accordingly. Create your own ideas and don’t follow what I do. Better yet, read the Risk Disclosure!
2014 HLHB Trend-Catcher Performance
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