In today’s live Forex analysis session we talked about the trade deal that was finally made between US & China and the two setups that we are looking at to enter this week. Yesterday was a bank holiday so the markets were rather calm, but as we have seen since this morning, that volume and movement is back.
Trump and Xi Jinping were able to strike a deal this past Friday which is great news for the economy and for traders alike. The deal has a phase 1, in which China is expected to start buying agriculture products from the US in total value of $50 billion. In return, Trump will delay a tariff he had set to impose this week. We hope the trade deal goes as planned, and both powerhouses can hold up there end of the bargain.
See our previous blog article on the US – China Trade Deal and What that Means for the FX Markets
This week we seek to long GBPNZD and short XAUUSD (Gold). The Pound continues to gain on the New Zealand Dollar as Brexit talks resume and the NZD continues to weaken due to certainties within the European Union. Technical analysis suggests the pair is headed to 2.10000 given that we get a close above 2.03000. As discussed on Friday’s session, Gold is likely to head lower as it continues it’s path within our daily descending channel. Recent USD strength (thanks to the deal) can help us reach the targets of 1474 and 1450.
Due to thanksgiving, this trading week has been shortened by a day. Therefore, we should expect more market movement later in the day today heading into the London session. As always, we will continue to do what has been working for us these past five months. Get our levels down, get our bias, find the correct setup and execute. I will see you all tomorrow at 11:00 AM EST for another live Forex analysis session. Take care and happy trading!
Watch the Session Here: https://www.portal.forexlens.com/
Check out Friday’s Live Session Recap: October 11th, 2019
