Video: Trading the US Dollar Breakdown
The Momentum2 system remains attractive as it trades the US Dollar breakdown, while the Breakout2 strategy looks less attractive as voltatility falls across the board--particularly in Japanese Yen pairs.
This afternoon brings the critical US Federal Open Market Committee interest rate decision, while Thursday's European Central Bank interest rate decision and Friday's US Nonfarm Payrolls data round out the week of critical event risk.
We can't predict how markets will react to the FOMC, ECB, and NFPs, and as such we'll continue trading on lower leverage than normal given clear uncertainty in forex markets.
See a promo on FXCMApps.com that provides all 6 DailyFX PLUS Trading Strategies free of charge
Follow and contact David via Twitter http://www.Twitter.com/DRodriguezFX
Sign up for trade updates via David's e-mail distribution list.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.