Welcome to a new trading month, friends! Here are potential inflection points and market catalysts that I’m looking at this week!
1-Hour Charts of the Majors
Purple Line: weekly open prices (WO)
Blue Line: weekly highs and lows (PWH, PWL)
Red Line: top and bottom weekly ATRs (tWATR, bWATR)
Blue MA: 100 SMA
Red MA: 200 SMA
1. New trading quarter – Now that we’ve said goodbye to Q2 2017, it’s time to embrace Q3 2017’s potential! I’m betting my friend’s Backstreet Boys poster collection that some traders will be looking for new investments to start the quarter. Question is, which assets will stand out this week?
2. Will central bank-induced trends continue? – Like Jay-Z’s new 4:44 album, traders still can’t quite stop talking about how Draghi, Carney, and Poloz seem to 180 from their previous biases. Did market players overreact or overprice the news? We’ll know if or when we see reversals or retracements this week!
3. NFP week party – Can’t have a new month without NFP-related positioning! Traders are expecting a bit of improvement from last month’s numbers, but a disappointing release could support speculations that the Fed won’t have enough reason for a third rate hike this year. Make sure you don’t miss the action!
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!
This content is strictly for informational purposes only and does not constitute as investment advice. Trading any financial market involves risk. Please read our Risk Disclosure to make sure you understand the risks involved.