Morning Preview: Top Trades for Friday
Rowan Crosby • 1 min read
Well traders we’ve made it to Friday and what a week it’s been.
The action all started with North Korea testing a hydrogen bomb and on Thursday we saw a bomb put under the Euro. Traders worldwide were watching Mario Draghi and the ECB and all they had on their minds' was ‘buy’. Even though QE talk got pushed back, it didn’t make a difference and the EUR/USD rallied to its highs.
The USD was weaker across the board and that’s going to be a good starting point for us today in spotting some good trade setups. It feels like it’s been a matter of back and forth with the USD; weakness one day followed by a retrace.
USD/JPY Breaking Support
We’ve been firmly focused on the 109 support level and I’ve written about it multiple times. Once again, we have broken down to that level and I’m looking for a bounce.
Recently released data shows that Japan missed with their GDP print which might bring in the sellers. This will only help to strengthen the USD/JPY.
I’m prepared to buy below 108.50 – but only on the back of a bullish candle. That way we have a bit of a sign of buying coming back in and hopefully the start of a retrace.