Risk trades getting hit as Chinese stocks fall

I’m now in sell rally mode on pairs like EUR/JPY, EUR/USD and AUD/USD as risk appetite wanes in Asia. The Shanghai stock market is down by almost 1.25% and this has been a leading indicator for the AUD in particular in recent sessions.

There are plenty of buyers still around in EUR/USD and AUD/USD so I prefer to wait for 30 pip rallies before entering.

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