Talking Points
- Review of current / active setups in focus into the close of the month
- Updated targets & invalidation levels
- Looking for more trade ideas? Review DailyFX’s 2017Trading Guides. Join Michael for Live Weekly Trading Webinars on Mondays at 13:30GMT (8:30ET)
Failure of the Trump healthcare overall has brought into question the administration’s ability to implement new policy with broader risk assets markets under pressure to start the week. Heading into the close of the month, our attention turns to commodities & commodity currencies as the USD remains under pressure. The DXY has broken below a key support threshold noted last week at 9943/53, with this level now serving as near-term resistance. Key support for the index comes in just lower at 98.60/70 where the 2016 open converges on the 200-day moving average and basic slope support extending off last year’s low.
From an event risk standpoint, traders will be eyeing the third and final release on U.S. 4Q GDP on Thursday with consensus estimates calling for an annualized uptick to 2.0%. Keep in mind we have central bank rate decisions on tap from the Reserve Bank of South Africa & Banco De Mexico on the same day. Updated technical setups and key levels discussed (in this order) on DXY, EURJPY, S&P 500, DAX, Nikkei 225, NZDUSD, AUDUSD, AUDNZD, NZDCAD, Crude Oil, Gold, Silver, NZDJPY, GBPUSD, USDMXN & USDZAR.
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Key Data Releases
Other Setups in Play:
- EUR/JPY: Near-term Reversal Potential
- S&P 500 Teeters- Key Levels to Know
- NZDUSD Awaits RBNZ: Game Plan & Levels to Know
- AUD/USD Revisits Multi-Month Resistance
- NZD/CAD Rebound to Offer Favorable Entries- 9500 Key Resistance
---Written by Michael Boutros, Currency Strategist with DailyFX
Follow Michaelon Twitter @MBForex contact him at mboutros@dailyfx.com or Click Here to be added to his email distribution list.
