Sterling has once again been the centre of interest on Wednesday, and, as before, the charts suggest that the session’s gains may well be added to in the days ahead although conditions do look set to be rather volatile, but buying dips in Sterling against most of the majors still seems to be a plan. EurGbp and Gbp Aud look particularly interesting. A trailing SL should definitely be kept in place though, as a negative Brexit headline could see a very quick/sharp reversal.
The US$ is mixed elsewhere and not showing an awful lot although the Aud and the Kiwi do seem to remain under some downside pressure for the coming session – look to sell rallies.
As for WTI, it had a good day, +2.5% although it did not take out the trend high of 57.77 and I suspect further choppy trade may lie ahead, although structurally I still think that looking to buy near 54.00/50 with a SL near 53.00 may be a plan.
The metals look to have topped out and I now prefer to sell rallies, but with a relatively tight SL in place.
Stocks are choppy, so best left alone
*Trade of the day: February 28, 2019; 6:31 AM(AET)
*This is a personal opinion only, based on the look of the table below, and carries no guarantee of success.
All trades are good till 5.00pm NY time. All “in the money trades” should have the SL raised to break-even, or managed manually. All “out of the money trades” should keep original SL in place.
Range Trade: EurUsd: 1.1300/1.1400 (SL 30 pips either side)
Range Trade: AudUsd @ 0.7170/0.7080. (SL 30 pips either side)
Sell EurGbp @ 0.8600. SL @ 0.8650, TP @ 0.8480
Sell Gold @ 1328. SL @ 1335, TP @ 1300
Buy GbpAud @ 1.8525. SL @ 1.1.8390, TP @ 1.8825
Buy WTI @ 54.25. SL @ 52.90, TP @ 56.00