Today is Martin Luther King day and the market was very quiet on top of the usual Monday quietness.
As mentioned in our last video, GBP has been largely sold off since Sunday opens from the negative sentiment that PM May will give a Hard Brexit talk in tomorrow’s speech.
The gaps were never closed as for now and GBP remained to be very negative and face a volatile movement for tomorrow’s event.
There were no tier one datas today and the only risk event was BOE Carney speaks at LSE, however, the event die not provide any insight.
Oil is virtually unchanged for today and European equities and Asian equities were all down.
The general risk tone is off due to tomorrow’s possible Hard Brexit talk and Friday’s Inauguration of Donal Trump. This of course benefits safe heaven currencies JPY & CHF.
For EUR, we don’t have any new updates and the main event as mentioned will be this week’s ECB conference. Tomorrow’s talk from PM May will also effect EUR.
Generally if GBP loses strength EUR will be up and vide-versa, however, the fundamental side of Hard Brexit will be very unstable for the whole Eurozone, so expect EUR to be effected as well in the negative sentiment.
For GBP, we’re in this selling rumour mode but be very cautious to enter at the low point now as PM May might give out any speech that market might reacts positively or negativity.
The best way is to wait for retracement before you get into shorting GBP.
The best pair to choose will be GBP/JPY as the risk off sentiment will be a large benefit for JPY.
For USD, although fundamentally strong, this week USD will be suffered from negative sentiment due to the policy uncertainty from Donald Trump, so don’t expect any large buying into USD unless the sentiment changes.
For CAD, the oil market is still good but the general risk off sentiment for this week will effect the oil and therefore diminish the strength of CAD.
For AUD & NZD, both are fundamentally strong but both can be effected from the risk off sentiment.
Finally for JPY & CHF, this will be a good week as both currencies will be benefited from the current sentiment.
Tomorrow we have GBP CPI, NZD GDT price & PM May speaks
Today is Martin Luther King day and the market was very quiet on top of the usual Monday quietness.
As mentioned in our last video, GBP has been largely sold off since Sunday opens from the negative sentiment that PM May will give a Hard Brexit talk in tomorrow’s speech.
The gaps were never closed as for now and GBP remained to be very negative and face a volatile movement for tomorrow’s event.
There were no tier one datas today and the only risk event was BOE Carney speaks at LSE, however, the event die not provide any insight.
Oil is virtually unchanged for today and European equities and Asian equities were all down.
The general risk tone is off due to tomorrow’s possible Hard Brexit talk and Friday’s Inauguration of Donal Trump. This of course benefits safe heaven currencies JPY & CHF.
For EUR, we don’t have any new updates and the main event as mentioned will be this week’s ECB conference. Tomorrow’s talk from PM May will also effect EUR.
Generally if GBP loses strength EUR will be up and vide-versa, however, the fundamental side of Hard Brexit will be very unstable for the whole Eurozone, so expect EUR to be effected as well in the negative sentiment.
For GBP, we’re in this selling rumour mode but be very cautious to enter at the low point now as PM May might give out any speech that market might reacts positively or negativity.
The best way is to wait for retracement before you get into shorting GBP.
The best pair to choose will be GBP/JPY as the risk off sentiment will be a large benefit for JPY.
For USD, although fundamentally strong, this week USD will be suffered from negative sentiment due to the policy uncertainty from Donald Trump, so don’t expect any large buying into USD unless the sentiment changes.
For CAD, the oil market is still good but the general risk off sentiment for this week will effect the oil and therefore diminish the strength of CAD.
For AUD & NZD, both are fundamentally strong but both can be effected from the risk off sentiment.
Finally for JPY & CHF, this will be a good week as both currencies will be benefited from the current sentiment.
Tomorrow we have GBP CPI, NZD GDT price & PM May speaks