We think the EUR/USD is little oversold now and there is no explanation for further sell-off from the fundamental point of view. We opened a long position there at current market price.

A steep five-day bear GBP/USD run is probably coming to an end. A failure to drop below 1.3902 daily cloud base could trigger a rebound, which is our baseline scenario.

EUR/USD

Trading strategy: Long

Open: 1.2200

Target: 1.2500

Stop-loss: 1.2085

Recommended size: 1.74 mini lots per $10,000 in your account

Short analysis: The EUR/USD managed to register a daily close below the cloud base which is currently at 1.2236. We think the pair is little oversold now and there is no explanation for further sell-off from the fundamental point of view. We opened a long EUR/USD position at the current market price.

GBP/USD

Trading strategy: Long

Open: 1.3940

Target: 1.4300

Stop-loss: 1.3820

Recommended size: 1.67 mini lots per $10,000 in your account

Short analysis: We think that a steep five-day bear run is coming to an end. A failure to drop below 1.3902 daily cloud base could trigger a rebound, which is our baseline scenario. We opened GBP/USD long at 1.3945.

USD/JPY

Trading strategy: Await signal

Open: -

Target: -

Stop-loss:-

Recommended size: -

Short analysis: USD/JPY bias remains firmly on the upside, the scope is for gains towards key Fibo levels above 109.00. USD/JPY bulls have steadily made their way further up the thick daily cloud which currently spans the wide 106.73-109.32 region. On the other hand, we see that market picture is changing and the USD rally may be coming to an end.

USD/CAD

Trading strategy: Short

Open: 1.2835

Target: 1.2400

Stop-loss: 1.2930

Recommended size: 1.93 mini lots per $10,000 in your account

Short analysis: The USD/CAD broke above 50% retrace of the March-April fall and the next resistance would be 1.2897 (61.8% Fibo). In our opinion, the USD rally is coming to an end and we opened a short USD/CAD position with a stop-loss above the 1.2900.              

AUD/USD

Trading strategy: Long

Open: 0.7605

Target: 0.7760

Stop-loss: 0.7530

Recommended size: 2.00 mini lots per $10,000 in your account

Short analysis: Technical analysis suggests that bear sentiment increases as the pair sets a new trend low after breaking the 76.4% Fibo of 0.7501-0.8136 and the December 14 low, but we see some signs of improvement in risk appetite today. In our opinion, a long position could be a good idea now, because all bad news for AUD/USD bulls have been already priced in.

EUR/GBP

Trading strategy: Await signal

Open: -

Target: -

Stop-loss: -

Recommended size: -

Short analysis: Doji candles on Friday and on Monday suggest market indecision and a loss of direction. In our opinion signals are not clear enough to open a trading position here.