Today’s Trades 08.30.2018 CHFJPY, EURUSD, EURGBP

*Good morning/afternoon everyone!*

The U.S. dollar is trading firmer this morning against most of the major currencies but the pullback in USD/JPY and stability of USD/CHF tells us that the moves are fueled by profit taking. With that in mind, the greenback could extend its recovery if personal income and personal spending numbers are strong, like we expect. The worst performer this morning is the New Zealand dollar which has fallen sharply on the back of lower building permits and business confidence. We are surprised that AUD isn’t down more given the recent mortgage rate hike by Westpac and last night’s softer private capital expenditures and building approvals report. EUR/USD made a brief attempt above 1.17 at the NY open but the drop in EZ confidence has limited the pair’s recovery. GBP failed to extend yesterday’s rise but is one of the most resilient currencies this morning and should continue to outperform on a relative basis.a The Canadian dollar remains in focus with ongoing trade talks and Canadian GDP scheduled for release this morning.

*The MAIN THEMES I see today are*

+USD
-EUR
-NZD
-AUD
-CHF
+CAD
+JPY

*Trading Biases*

+USD, +JPY, +CAD
-EUR, -NZD, -CHF, -AUD,
mildly +GBP (on relative basis)

*Today’s Initial Trades*

Here’s the summary --

1. Sell USDCAD at 1.2916, Stop at 1.2944, Target 1.2883
2. Sell CHFJPY at 115.01, stop at 115.29, Target 114.73
3. Sell EURUSD at 1.1695, Stop at 1.1723, Target 1.1667
4. Sell EURGBP at .8987, Stop at .9015, Target .8959

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

Swing

Leave a Comment

Your email address will not be published. Required fields are marked *