Rumors are the President Donald Trump will impose 75% tariffs on ALL oil imports in order to protect American oil industry. Let's see how this will be developed.
So far history has shows that market, with their own opinion, always wins.
U.S. benchmark, West Texas Intermediate, has fallen to the $15 range as global economies remain on lockdown due to the COVID-19 pandemic, crushing crude demand. Also global oil storage is reaching its limits. The situation is so dire, in fact, that the Department of Energy is even considering paying domestic oil producers to keep crude in the ground.
Risk appetite was short lived after the announcement of Phase 1 deal between US and China and markets became worried because deal details are missing.
Trade duration: until end of this year, SL around 40 pips.
Expecting pair to gain momentum until end of this month. Also OPEC oil production cuts begin in January 2020, so there is plenty of time for Loonie to depreciate.
Trade duration: 12-14 days. Tight SL.
More ideas in my profile.
The round level 1.0000 appeared a tough nut to crack, so far the US dollar failed to break and sustain it.
Today is the Non-farm Payrolls event, expecting high volatility and opportunity to sell the pair. Very tight SL and trade duration 5-7 days.
Given the fact that upcoming elections are next week, and the polls favor Boris Johnson victory, the Pound is poised to rise even further against all majors.
Shorts squeeze already happened yesterday, so it is good time to enter the market.
Tight SL and trade duration 5-7 days.
After short selling the pair couple of days ago, it seems the pair now has found support around 1.46.
Entering long, same type of setup with tight SL and duration of 3-5 days.
I believe OPEC meeting and expected oil production cuts will not have significant effect on Loonie, because markets already priced and digested this information.