Range-based setups were the preferred approach through the first half of this week. Now, we have to shift gears to breakout candidates to account for our first major fundamental catalyst since the Summer Doldrums ended: the ECB rate decision. The EURUSD may seem the ideal candidate - and it does offer a distinct opportunity one volatility influx that carries us through 1.2625 or 1.2500. However, EURJPY is arguably the superior option given its clear levels and tempered exposure to NFPs immediately after the ECB. Furthermore, you should watch the ECB decision whether trading Euro-based pairs or not. There are risk trend ramifications that can translate into heavy moves for the likes of AUDUSD, the S&P 500 and gold amongst others.
Weighing EURJPY and EURUSD Breakouts on ECB Decision
- Nov, 30 07:22 GMTForex Webinar: Euro May Rise Even as ECB Boosts Stimulus
- Nov, 28 00:43 GMTBatten Down the Hatches: NFPs, ECB, China’s SDR Status, Much More Ahead
- Nov, 27 23:50 GMTEvaluating Existing Trades As Event Risk, Liquidity and Risk Shift
- Nov, 26 04:08 GMT EUR/USD Reaches Towards 1.05, Yen Crosses Weigh Range vs Breakout
- Nov, 26 04:02 GMTWhat to Expect from Global Markets Through Year End
- Sep, 05 02:48 GMTEURUSD Setups Up Range Above 1.2500 Before Key Volatility, Break
- Sep, 04 01:30 GMTEURUSD Awaits Volatility Influx and ECB, AUDUSD has RBA on Tap
- Aug, 25 02:07 GMTAUDUSD and USDollar Post Reversals, Which Will Stick?
- Aug, 24 02:34 GMTEURUSD Rally Slows as QE3 Hope Hits Saturation Point
- Aug, 23 03:28 GMTEURUSD and AUDUSD Surge after Dovish Fed, Are These Trends?