My macro view of the market remains the same, the big 3 (currencies and printers!) will stay weak for the foreseeable future or until some important fundamental shift takes place. This will make trading in EUR/USD, EUR/JPY and USD/JPY a matter of range trading and timing. In the short term, I’d expect the EUR to be the weakest of the 3 given the recent policy shift but it will be very important to get in at the right levels.
Of the rest, I still like the GBP, CAD and AUD. The CAD is most over-sold in my view and still susceptible to a sharp short-covering rally whilst the strongest trend in the market is undoubtedly the bullish GBP trend and I see no reason to abandon the buy-dip strategy here.
In other words, selling medium-term EUR/GBP rallies is still the most obvious strategy.
(I haven’t mentioned the CHF as I have an overwhelming but illogical urge to be limit short!)