Heads up for a volatile day ahead > we have 2 rate decisions out, Halifax, Manufacturing Production, Industrial Production, Asset Purchase Facility in the UK, then Retail Sales, German Industrial Production in EU and Unemployment Claims + FOMC speakers in the US.
I guess that I am starting to sound like a broken record but we continue to have the same set-ups lining up every day. Please note that this indicates that when we do get a break, it will be very powerful.
As readers know, the above is referring to Euro test of 1,30, Cable breaking under 1,50 and Yen above 95. However, please keep in mind that we could still get 100/200 pips counter moves that would not break these setups. Having said this, continued euro weakness as opposed to usd strength has been weighing on eurgbp and therefore interfering with cable plays so I am extremely cautious on cable trades….
Going into London, my focus is on shorter time frames and taking trades either way to follow volume flows and forgetting any bias I may have due to continuous data releases during the day > I do not want to be stuck with a bias or in a trade but rather just want to trade the price action with a clear mind.
Keep a special eye on recent highs and failure and breaks there as, especially breaks, will trigger stops that having been building for weeks…
Stay safe and keep it tight!