Trump started the selloff overnight with some tweets criticising China & the response from China's Global times saying that China will 'defend its interests,' got US traders nervous enough for equities to test earlier lows.
There was some clear weakness across the board, with Silver & Copper unable to get above yesterday's prices.
USD, though up, wasn't a huge mover and so overall the FX space was subdued. European PMI's were terrible - as expected - and the Euro hardly flinched. The promise of the French & German 'solution' is holding the Euro up, for now.
US Initial jobless claims were slightly worse than expected and noticeably continuing claims were still high, showing that while most of the US may be re-opening in some way, the jobs are not necessarily all coming back.
Yen played catchup with yesterday's risk on equity move, weakening across the board. An announcement from the Bank of Japan saying that they would be looking at further easing on Friday helped currencies v's Yen.
Japanese yen
German ZEW survey came in at -93.5 v's -86 expected, though there was a lot of optimism in the report showing an expectation that the rebound will get underway soon now that economies are re-opening.
Fed Chair Powell was testifying in Congress today and didn't say anything that surprised the market, continuing the viewpoint that the Fed will do all it can to support the short term market but the more fiscal stimulus is required to support the longer-term recovery of the economy; over to Congress.
FOMC MINUTES LOOM & CAN CAD MAKE A BREAK?
1900 : USD FOMC Minutes
FED cheat sheet
It's a big day tomorrow, with CAD data in the afternoon followed by FOMC minutes. USDCAD has drifted back to the lows of its recent range - will there be a false breakout to the downside before the upward momentum comes back?
Hi Guys, I wanted to share a trade with the team. I went short GBPUSD @1.247 on 30/04/2020. Original stop was at 1.267 above the second high. Fundamentals were in favour of strong USD.
Trade went in my favour and moved my stop to 1.253 (above major resistance) once the H4 candle closed below major support (1.240). Stocks fell and more risk off and dollar continued to strengthen. Once price went below 1.230 and H4 candle closed, stop was moved to 1.246 to cover costs. Price went below 1.226 and candle closed. I moved my stop to 1.239. Price then went below 1.216 and top moved to 1.226.
Price went below 1.216 and there seems to be a change on risk so moved stop to 1.217. Locked a total of 303 pips on one trade.I want to thank the Intex team for providing a structure and understanding. This helped me to achieve my first ever 300+ pips on a single trade.
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