With Trump's latest foot in mouth controversy, it makes sense to have a look at USDMXN and see where we can buy the peso. It looks to me that we've seen a blow off top into 20.00 and although I'm unwilling to fade USDMXN strength, I will sell weakness. I've identified 19.15 as the area to sell a clean break with a stop above 19.30 for realistic targets near 18.50...
Entry triggered on four hour pin bar. Have been looking for an entry in this pair due to positioning in cable and current proximity to major support in USDJPY (100.00). I'm long form 130.21, risking 129.68 with targets in the 132.00 area.
The single currency has traded well the past few weeks but is failing at former support, now resistance in the 1.1320 area. We've seen this move before and should be on watch for a potential breakdown into year end.
Long term up trend comes into question around 1.27. The .618 fib of the entire EUR range is at 1.3058 which should hold on its first attempt, but if full blown QE is on the table, this could turn ugly very quickly.
Very dovish BOJ on the back of Kuroda's speech in Jackson Hole re: further monetary easing and positive carry make this a strong candidate for a long. The Australian economy is in a good position to weather the difficult global economy due to its strong trade relationship with China, a responsible central bank, and vast amounts of natural resources. With a base...
