PFX Commodities and Crosses Trading Outlook: 4 September 2008

Discussion in 'Forex' started by LearningMarkets, Sep 3, 2008.

  1. LearningMarkets

    LearningMarkets ET Sponsor

    REVIEW: 3 September 2008

    The Bank of Canada left rates alone at 3%, which was not necessarily a surprise but the statement was seen as surprisingly hawkish. Whether the Canadian economy is able to live up to expectations is a big question mark but the news may have helped push the CAD against the dollar's broader decline.

    Australian GDP was less than expected which places this currency in an even tougher situation as values drop further below support. General USD weakness redeemed the Aussie a little but shorts still look like they are in good shape.

    PREVIEW: 4 September 2008

    Trade is due later this evening for the Australians, which could help to feedback into this negative cycle pushing prices lower. Expectations are pretty low already and a positive surprise is unlikely.

    The big news tomorrow is ADP in the US and rate statements from the ECB and the BoE. If you are good at trifectas you may attempt to trade them but I suspect that most traders are going to be better served by managing risk tomorrow than looking for brand new trades. The volatility that could occur is potentially significant. In the video I will review the current opportunities and review potential support and resistance levels.

    To see the video, click here: