It's all so quiet still
Thursday 30 May 2019
All the usual fragile global conditions prevailing as we head into the week, and indeed month, end and that's seen some very tight ranges continue. Market-making traders seem clueless/disinterested and algorithms have little to feed off.
GBPUSD duly headed lower after breaking down through 1.2650 and has now posted fresh recent lows of 1.2617 while EURGBP is finding dip demand around 0.8800 (GBPEUR sellers 1.1365) as we head further into month-end but equally sellers lurking at 0.8830 (GBPEUR buyers 1.1325) still too. GBPJPY had a brief look below 138.00 a couple of times but held and has rallied as core pairs find dip demand and a little better risk sentiment returns.
I remain GBP bearish overall and continue to rally-sell as my preferred strategy and buy back in the dips amid all the uncertainty/indecision including Brexit. I repeat no change to this view for the foreseeable future. Dip buyers will still expect to find better value for money the lower we head but that's still not happening in any big fashion at the moment.
EURUSD remains tightly bound amid all the general uncertainty and EUR-cross plays but continues its slow retreat and now posted new recent lows of 1.1125. USDJPY held those fresh recent lows of 109.15 and has seen a decent rally to 109.75 amid some better risk sentiment and general USD demand but still not going too far in a hurry. USDCHF remains tightly bound amid the EURCHF and EURUSD calm with the SNB casting a shadow still.
AUDUSD still going nowhere in a hurry as dip demand matches rally sell interest amid the expected RBA June rate cut and ongoing US-China trade talks too. USDCAD has paused into those 1.3520-30 offers I've highlighted helped by some CAD/JPY demand and firmer oil price versus general USD demand. BOC left rates on hold at 1.75% and seemingly still will for a while yet.
Fickle Forex markets ever prevailing so be ready with your entry/exit levels and orders as always.
I'm off out now to a golf competition so please contact your rate providers directly should you need to trade.
Have a good day out there one and all.
Interbank Rate 06.50 BST