Today’s Trades 03.02.2018 – EURJPY, USDJPY, NZDCHF, AUDNZD

*Good morning/afternoon everyone!*

The U.S. dollar is trading lower against all of the major currencies this morning while the Japanese Yen and Swiss Franc are trading higher across the board. Asian and European equities followed U.S. stocks lowered with Dow futures now pointing to another day of weakness for U.S. stocks. President Trump’s tariffs have elicited an antagonistic response from China who said they could take measures to protect their own interests. Canada has also blasted this move while the European Commission says they have counter-measures ready against U.S. tariffs and will discuss a response on Monday March 5. We can’t imagine all of this going well and the risk of retaliation will continue to weigh on market sentiment. We expect further weakness for the yen crosses and think EUR will be vulnerable to profit taking ahead of this weekend’s political events. Prime Minister May will be speaking shortly and we doubt that the market will be satisfied or sold on her plans for Brexit. The Canadian dollar extended its losses ahead of its monthly and quarterly GDP reports. The New Zealand dollar is underperforming the Australian dollar and we believe that is likely to continue.

*The MAIN THEMES I see today are*

-USD
+JPY
+CHF
-NZD
-CAD

*Trading Biases*

-USD, -CAD, -NZD
+JPY, +CHF
mildly -AUD, -EUR
neutral GBP

*Today’s Initial Trades*

Here’s the summary --

1. Sell EURJPY at 129.72, Stop at 130.00, Target 129.44
2. Sell USDJPY at 105.33, stop at 105.61, Target 105.05
3. Sell NZDCHF at .6765, Stop at .6793, Target .6737
4. Buy AUDNZD at 1.0719, Stop at 1.0691, Target 1.0747

Close ALL open day trades by 10:20AM NY / 15:20 GMT

Swing

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