Still like overall look of risk trades, but it is Friday
EUR/USD has bounced back towards the upper end of its recent range and the AUD/USD has also recovered from the post-data sell-off which reinforces my belief that the market wants to be long risk trades. My trade-of-choice is to be long GBP and I see no reason yet to change this view.
EUR/GBP is consolidating recent losses and cable made marginal new highs overnight. GBP/JPY is also in consolidation mode and my shortish-term target remains 174.00.
Friday is often risk-off day but as I don’t think the market is really long of risk just yet, I’m guessing that today might be a bit different.
Good luck out there and TGIF.