“It takes a lot of effort to make something look effortless” – Ben Mitchell
As we discussed in our latest Weekly Outlook Video, GBP remains our least favorite currency to try and express any swing due to too much Brexit event/headline risk. We continue to only look for short-term tactical plays on the whole GBP complex.
In terms of the other majors, we are still looking for a DXY correction even if the path can be a bit choppy; especially against the JPY and CHF where we will likely continue to see a lot of wheeling & dealing by the respective Central Bank action.
Equities remain bid in this low liquidity grind higher and even if we expect the markets to give back these moves, fighting the flows in the short-term will likely remain painful. This is the kind of scenario when from the open on Sunday we would say that the indices look like they have to fail from higher levels.
We’ll have to wait for some real volume and for the action to pick-up before we can update our view.
Keep an eye on the Twitter Feed for updated charts throughout the day.
