U.S. Overnight Forex Preview
Shain Vernier • 2 min read
Still no word out of Washington D.C. on the progress of the House vote on tax reform. The U.S. indices have pared earlier losses, down only slightly on the day. Aside from the important action facing the Trump tax plan, there are several other upcoming items for the late U.S. session and overnight that may spike volatility:
New Zealand Import/Export data, Trade Balance
Japan All Industry Activity Index
U.S. API Crude Oil Inventories, Existing Home Sales
The trade balance numbers out of New Zealand are likely to bring participants to the market. It is much needed as the last three sessions have provided choppy trading conditions. A nice directional move from the Kiwi would likely bring a fresh trade signal into play.
Live Signals And Recommendations
Over on the signals page, here are several live setups to take a look at. Trading plans for the AUD/USD, EUR/JPY, and EUR/GBP are on the board. Long term signals facing the cryptocurrencies Litecoin (LTC) and Bitcoin (BTC) are also queued up.
Earlier trade recommendations facing the EUR/USD and USD/CAD have both been elected. As of this writing, the USD/CAD is performing well, up around 25 pips. If you are live in this trade, be aware that this afternoon’s API crude oil inventories release has the potential to skew price action. It may be a good idea to take profits ahead of the report.
The EUR/USD scalping plan hasn’t done a whole lot, with the market being stuck in deep rotation. Dead markets are a challenge to successfully trade. When there is limited movement, reading price action becomes difficult. Stops and proper leverage are absolute musts when trading in these types of environments.
At least for now, mum’s the word out of Washington. From a practical standpoint, this item’s outcome has the potential to turn the equities markets on their heads. If you are holding open positions this afternoon have your stops down and leverage in check.