Overall there is strength in the JPY and NZD. Weakness in the CAD, EUR and AUD.
Oil prices rebounded on Tuesday in Asia after falling more than 2% in the previous session amid weak Chinese trade data.
Gold's 12-day-long consolidation near $1,300 has taken the shape of a contracting triangle, therefore, could see a downside break of the contracting triangle or the bullish breakout, if confirmed, could end up trapping the bulls on the wrong side of the market.
Bitcoin rebounded on Tuesday in Asia, following a tumble over the last few days. Regulators in Denmark and Malaysia set eyes on crypto trading, and HSBC is actively using blockchain to improve transaction efficiency, according to reports this week.
USD weakened on Tuesday on heightened expectations the Federal Reserve will hold off on raising rates this year due to a slowdown in global growth, while sterling edged up ahead of Britain's parliamentary vote on its Brexit plan.
GBP/USD edged down from a seven-week high on Monday as investors prepared for a vote on British Prime Minister Theresa May's Brexit deal that parliament is expected to vote down.
EUR/USD pair is under pressure below the key resistance level at 1.1485 which should limit the upside potential. RSI is around its neutrality level at 50, showing the lack of upward momentum for the prices. To conclude, as long as 1.1485 holds on the upside, look for a return to 1.1450. A break below this level would trigger a drop to 1.1430. Alternatively, crossing above 1.1485 would bring a technical rebound with 1.1515 and 1.1560 as targets.
On the data slate there’s Euro-Zone Trade Balance; US NY Empire State Manufacturing Index; US PPI; US Redbook Index; Euro-Zone ECB President Draghi’s Speech; US Fed’s George Speech and US Weekly Crude oil Stock.
Today Trading Plan
BUY EUR/USD @ 1.1450 OR BETTER – STOP @ 1.1400 – TARGET @ 1.1610
BUY GBP/USD @ 1.2830 OR BETTER – STOP @ 1.2760 - TARGET @ 1.2965
SELL USD/JPY @ 108.50 OR BETTER – STOP @ 109.30 – TARGET @ 107.85
BUY CL0219 @ 51.00 OR BETTER – STOP @ 50.40 – TARGET @ 52.25
BUY AUD/USD @ 0.7180 OR BETTER – STOP 0.7130 – TARGET @ 0.7265
BUY XAU @ 1290 OR BETTER – STOP @ 1285 – TARGET @ 1305
BUY XAG @ 15.60 OR BETTER – STOP @ 15.10 – TARGET @ 16.00
THE ABOVE BRIEF IS MY PERSONAL OPINION AND DOES NOT CONSTITUTE ANY PROMISES OR GUARANTEES OF PROFITS. TRADING IN CURRENCIES AND COMMODITIES ARE HIGH RISKS. YOU SHOULD NOT TAKE ANY MATERIAL POSTED AS RECOMMENDATION.
