ES, Triple Top or ready for a Pop? + USDCAD Long, HOURLY Charts
With the ES Front Month Futures making a trip top at the moment on bearish declining momentum and record job losses I feel there may be a correction down to near term support of 2650, if renewed buying we should see 3150 again. The WTF move would be back to pre-Covid lock down highs of 3390. I think the market struggles sideways/volatile for some time, many months. It seems there is a possibility of major civil and national unrest in the USA like we have never seen before. People are feeling the burning sting of Wallstreet being bailed out once again while record job losses have so many wondering where their lives went. The gap between ultra rich and poor widens and ultimately this is not sustainable.
CURRENCIES:
Long USDCAD at 1.3893, Stop 1.3843 50 pips risk, which I'll place at Breakeven early AM tomorrow if the market allows and look for spots to add to the Long.
USDCAD
BANK FX TRADERS report massive buyers coming into USDCAD at 1.3880-90 zone and Buyers are 4:1 Long vs. Sellers.
USDCAD Is a simple theme at the moment: Stocks Up + Oil Up equals CAD Up. As (if) Global economy slowly restarts and countries begin gradual reopening this will bode well for CAD, Oil and Equities. However Oil and Equities levels may already be priced in somewhat.
The 1.3850 Level is extremely vulnerable as sustained rate action at those levels could mean a race for the exits on Long USD/CAD Positions.
IF we can get rate action closing the week above 1.4000 than we may see 1.41, at which point I think we will see a lot of sellers come into the market and I'd take profit on Longs.
The only thing it seems that could get USD fires back roaring is some new wave of COVID (Or murder hornets for that matter...like wtf right), or a trade war developing with China. At which point 1.43-45 may be in play again as a global Dollar shortage resumes.
However, either way the rate action takes us I expect sideways and volatile action on the markets so range trading with slight directional bias strategies should clean up nicely. Turn off the News it is wrecking your health.
Best, Django FX
CURRENCIES:
Long USDCAD at 1.3893, Stop 1.3843 50 pips risk, which I'll place at Breakeven early AM tomorrow if the market allows and look for spots to add to the Long.
USDCAD
BANK FX TRADERS report massive buyers coming into USDCAD at 1.3880-90 zone and Buyers are 4:1 Long vs. Sellers.
USDCAD Is a simple theme at the moment: Stocks Up + Oil Up equals CAD Up. As (if) Global economy slowly restarts and countries begin gradual reopening this will bode well for CAD, Oil and Equities. However Oil and Equities levels may already be priced in somewhat.
The 1.3850 Level is extremely vulnerable as sustained rate action at those levels could mean a race for the exits on Long USD/CAD Positions.
IF we can get rate action closing the week above 1.4000 than we may see 1.41, at which point I think we will see a lot of sellers come into the market and I'd take profit on Longs.
The only thing it seems that could get USD fires back roaring is some new wave of COVID (Or murder hornets for that matter...like wtf right), or a trade war developing with China. At which point 1.43-45 may be in play again as a global Dollar shortage resumes.
However, either way the rate action takes us I expect sideways and volatile action on the markets so range trading with slight directional bias strategies should clean up nicely. Turn off the News it is wrecking your health.
Best, Django FX