Hard to find any rhythm in this market
It’s definitely starting to feel like ‘holiday’ markets and I know I’m not the only one who is struggling to find any rhythm. I have a feeling that I’ll be running smaller and smaller positions through the end of August when the market will return to full strength again.
I will look more to the ‘technical’ trades during this period, looking for decent swing trade opportunities with good risk reward. Presently I’m long EUR/CHF after a base formed at a 61.8% pull-back near 1.2345 and I’m short EUR/JPY, with a potential H&S on the daily chart. I cut my EUR/USD long for a small 30 pip loss this morning and I’m still long AUD/USD, with a stop at break-even below .9000.
I’m expecting today to be very quiet in Asia although the market will eye the RBA minutes carefully given the ‘jokes’ which Mr Stevens made about deliberation times.