Very quiet session as expected although the US pending home sales had a shocker, down -5.6% versus and expected +0.5%. Whilst the housing industry has been the driving force behind the recovery it seems to be faltering with the 3 figures being in the red. Another sign that Ben will still be in his helicopter for some time yet. Nothing much else to say so let’s get into the technicals.
DATA HIGHLIGHTS TODAY – US Retail sales & PPI & Consumer Confidence.
AUDUSD – LHLL and on its way back to the mid 94’s as called. Was also a high test bar after trying to rally on the Euro open to get smacked back down for impertinence.
EURUSD – An inside seller bar and looks to be rolling over. Momentum is still high though so not joining in the fray just yet.
GBPUSD – A LHLL and ring high, looks very tempting to short this today. Question is though, do I want to carry US$ exposure through FOMC in 2 days time?
NZDUSD – Another LHLL test bar, not exactly testing anything though. Have closed trade for +100pips but I think there is still some downside to go yet on the kiwi.
USDCAD – Inside buyer bar showing little interest in trading this. The 4hr chart hasn’t quiet retraced enough for a trade on this yet.
USDJPY – Worse than the Loonie, utterly failing to find a trend trade in the yen.
GOLD – Slowly inching higher and I am still looking for the right entry.
David Long / Proprietary Trading Manager