Dollar should be ripping highs after recent comments on rate hikes from the FED. But it is not, which means something is wrong and I’m not interested sticking around to find out. Monday is presidents day over the pond which means all the fun happens at London open and I’ll be watching these pairs closely as my setups unfold.EURNZD
The calendar is light apart from the eurozone which I expect to print juicy numbers. I like the euro against the New Zealand dollar long, as the RBNZ rhetorics is expected to continue weighing on the NZD. Should price return back into marked demand above I’ll be buying.
GBP is in a complex situation. Inflation is kicking higher but wage growth isn’t trotting along which means BOE has no option but to watch. That means the marked trendline above is going to be dust very soon. On the other hand Nikkei has broken lower out of its topping formation which should drive the Yen higher. With no major news announcements a trend resumption is a likely scenario and this recent IB could give us an opening.
Inflation is still ripping higher globally and I don’t see any reason fundamentally why silver should play out the way I marked above,but silver has been closing bullish for the last 8 weeks that is insane! Something to think about, plus PA is more or less boring off the highs.