Welcome to another live trading session. In today’s trading session, we went over the current fundamental sentiment for the Forex market and setups we can take this week.
Among the increasing worries of the Coronavirus causing a global recession, world banks have decided to do worldwide bank rate cuts as a solution. This led to some relief in the markets as many financial instruments and currencies made back some of their losses from weeks prior. In hindsight, no one expected the Coronavirus to be this much of a problem, and it is expected to get worse as cases are growing exponentially quicker than before.
This week is NFP week and many investors are patiently waiting for Non-Farm Payroll release to determine the impact of the Coronavirus on the US economy. Although the number of jobs added this month is expected to be lower than last month, the unemployment rate is expected to drop to 3.5%. Between now and Friday’s release, we have a fairly clear fundamental schedule.
As for setups this week, we are eyeing shorts for GBPUSD and GBPJPY. Both pairs have closed below their monthly supports on the daily timeframe. This is indicative of a move down which is supported by current fundamentals surrounding the Pound. We are also holding onto our AUDUSD swing short which is currently halfway to the final target of 0.62500.
As the trading week is still young, we are being patient about the trades that we enter. We expect more suitable entries tomorrow during our live session as the markets would have time to react to updates about the Coronavirus that occurred over the weekend. With that being said, I will see all the paid members tomorrow for another live trading session. As always, be safe and trade responsibly.
Check Friday’s Blog Post: February 28th, 2020
