Forex: Dow Dives but EURUSD Still in Pre-Breakout Holding Pattern
Global equities collapsed this past session leveraging the possible return of a key fundamental theme: risk aversion. Yet, if this dominant theme is in place, why did the US dollar hold range? EURUSD is flashing one of its strongest breakout signals in years, the yen crosses are on the verge of turning a volatility jump into a trend reversal and the S&P 500 is facing a possible tide change. A market-wide shift is within grasp, but it has yet to confirm. We discuss the underlying risk trends implications along with trade opportunities in the majors, pound crosses, yen pairs and the kiwi in today's video.
Find out what event risk can threaten the trade setups discussed in today's video with the DailyFX Economic Calendar.
Market conditions change, and our strategy should reflect those changes. We have coded the DailyFX-Plus strategies for Breakout, Range and Momentum to adapt to these market shifts.
Sign up for John’s email distribution list, here.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.