The markets were always likely to be a bit range bound today with the US and Canada enjoying a bit of turkey and cranberry sauce. Both have holidays and we have felt the effects on the FX markets today.
Dean’s Daily FX Update – 10 October 2016 In the Zone NZDUSD USDCAD Noteworthy News There was much anticipation going into the final US Presidential debate. Trump supporters should know that he was a lot better (not that he could be worse than last week), he was actually better than expected.
What started off as a countdown to the US NFP (Non-Farm Payroll) data release quickly turned into uncovering the drama that unfolded in the GBPUSD early Friday morning. It has been a very long time since the NFP report had to live in the shadow of a bigger development.
The entire Forex market is focused on the mystery of GBPUSD (cable) over night. Traders in London were summoned back to the office late last night – I have been on the phone to a number of ex colleagues in London, and no one has a definitive answer yet
The major commodity currencies (AUDUSD, NZDUSD and USDCAD) were in focus this morning along with the USDJPY. The event risk was in the form of US Unemployment Claims which were out at 14:30 this afternoon.
We have four FX pairs on our radar today. The AUDUSD, NZDUSD, USDCAD and USDJPY. All are showing signs of running out of momentum from recent moves.
Dean was focused on three Forex pairs this morning. He saw opportunities in the NZDUSD, USDCAD and the USDJPY. He was avoiding the others as they were either very range bound or had failed miserably to maintain support.
We have changed the format of Dean’s Daily FX Commentary. Clients requested that we just show the areas of interest rather than covering all the forex pairs. We hope you like it and please pass on any comments.
Dean was only looking at two FX pairs today for potential trades. The NZDUSD and the AUDUSD. He was also keeping an eye on GBPUSD to see if the blood-letting would subside. The forex markets can be unforgiving at times
As was probably expected, yesterday did not exactly capture the imagination, the European session struggled with Germany being on holiday and perhaps the US were suffering the hang over after regaining the Ryder Cup.