Good morning traders.
Last day before the long Easter weekend.
Again another slow day yesterday as we expected and no break of the 1.1320s which formed a cap on price. I mentioned the 1.1290 level for a scalp and although it came later in the day than I would normally have wanted (it was an Asia overnight level and as such is really best to trade at the kick off) it still gave us a couple of entries for +10 each time. Apart from that unless you were short at 1.1320 there was not much to do.
I read an interesting piece yesterday on Bloomberg about the slump in FX volatility. In summary – we could be heading into some big US dollar move in the not too distant future. As such it will breath life into the eurusd. It could be up or down depending on the USD move but any movement would be welcome from our pov. Not soon enough in my opinion :).
We have some important data out this morning in the shape of French and German Flash services and manufacturing PMI´s kicking off at 9.15 CET with France and 9.30 for the Germany data. Later we have US retail sales at 2.30 CET followed by US flash PMIs. Hopefully these data will spark a bit of action as we head into the Easter lay off.
Different looking chart today as I am having some data feed problems with my normal charts.
Nothing different to what we saw yesterday. The 1.1280, 1.1320 and 1.1350s are still the key levels. Hopefully the data will give us some movement to test higher or lower in which case watch for any reverals at the levels and or any push through in the event of a decent move where S becomes R and vice versa.
As nothing has changed the 4h chart above will suffice for today. The levels are clear – we just need some action!
Have a good long weekend, recharge the batteries and see you all again on Tuesday.