In today’s live trading session, we went over the status of our GBPAUD trade, the current troubles in the Eurozone, and trades to take for the rest of the week.
During yesterday’s live forex webinar, we analyzed GBPAUD and determined a bearish bias for the pair. The pair satisfied our entry criteria and then hit our first target and dropped a total of 50 pips. Our partial position had then been stopped out at entry. During today’s session, we looked at a chance of reentering the trade as the bearish bias remains.
The Eurozone is in turmoil amid the Covid-19 chaos. Courts in Germany had deemed the ECB’s quantitative easing via buying back bonds to be unjust. The courts ruled this was unconstitutional and demanded the ECB to rationalize such moves moving forward. This led to an immediate bearish reaction to the EURUSD in the early morning.
For the rest of the session, we went on to discover viable trade setups to enter. We found a possible opportunity to sell Gold (XAUUSD) as appetites for riskier assets has returned. A breach of daily support can take this pair back down to 1670. There is also an intraday long for AUDJPY which can take the pair back to 70.000.
We are off to a great start to the week with winning trades for CADCHF and GBPAUD. We should see more setups come to fruition as we approach the midweek. We do have the ADP release tomorrow morning which may be the driver of some larger moves. Thus, if you are in trades during that time, be sure to have your stops in profit. As always, be safe and happy trading!