Out of the blue, the market came to sudden life this European morning, triggering sell stops in the dollar and leading it quickly to lower levels. The scenario is quite clear: A consolidation will follow, suggesting a sideways market. But beware, further sell stops are already now placed in the markets. If hit, they will lead to an even lower dollar very quickly.
For today‘s trading, we limit our strategy to looking for favorable selling points for the dollar, as descibed below in the major pairs‘ list. There are no fundamental market-moving data scheduled for today
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
Triggering buy stops this European morning, the market reacted sharply upwards and is now trading at 1.4795. We would refrain here from going long at these price, considering the highly overbought situation. A sideways market will most probably set in today, giving perhaps a chance to buy at a more favorable point at 1.4690.
GBP / USD
Even the somewhat sloppy pound managed a recovery today against the dollar, which is right now reaching the 1.6320 level. We see some further upside potential in this market, but would not buy above around 1.6250.
USD / CHF
A sharp fall this European morning brought the dollar to the current level of 1.0235 against the Swiss franc. We expect more of this weakness to come, but not right now. An ideal selling point would be the 1.0290 level, still a possibility in an upward trending market.
USD / JPY
Although it might look right now as if the dollar would lose against the yen, currently trading at 91.35, it is not true - an upward trend has existed for 3 days and this is only a correction. We see more upside potential developing and would buy the market around levels of 91.00.
For today‘s trading, we limit our strategy to looking for favorable selling points for the dollar, as descibed below in the major pairs‘ list. There are no fundamental market-moving data scheduled for today
by George Clement
Intraday Market Outlook for Day Traders
EUR / USD
Triggering buy stops this European morning, the market reacted sharply upwards and is now trading at 1.4795. We would refrain here from going long at these price, considering the highly overbought situation. A sideways market will most probably set in today, giving perhaps a chance to buy at a more favorable point at 1.4690.
GBP / USD
Even the somewhat sloppy pound managed a recovery today against the dollar, which is right now reaching the 1.6320 level. We see some further upside potential in this market, but would not buy above around 1.6250.
USD / CHF
A sharp fall this European morning brought the dollar to the current level of 1.0235 against the Swiss franc. We expect more of this weakness to come, but not right now. An ideal selling point would be the 1.0290 level, still a possibility in an upward trending market.
USD / JPY
Although it might look right now as if the dollar would lose against the yen, currently trading at 91.35, it is not true - an upward trend has existed for 3 days and this is only a correction. We see more upside potential developing and would buy the market around levels of 91.00.
