As with yesterday, risk sentiment seems set to improve further in coming sessions which means that the yen will remain under pressure as a funding currency and both US$Jpy and the Yen crosses (EurJpy, AudJpy) do look as though they have some potential upside momentum ahead.. In other currency pairs, it looks rather messy but the Aud$ does look as though it may want to make another run higher against the US$, further underlining improving risk sentiment, despite the possibility of a full on trade-war. US$Chf also continues to improve and I suspect we are going to see a run towards/above 0.9500 at some stage soon.
Elsewhere, Gold and WTI both look a little heavy today although they are stuck within a range and I would continue to concentrate on these parameters for each. Stocks are still highly volatile and a nimble stance is needed but I prefer to trade from the short side looking for an eventual break lower – which could be substantial.
*Trade of the day: 3/8/2018 8:08 AM (AET)
*This is a personal opinion only, based on the look of the table below, and carries no guarantee of success.
Buy US$Jpy @ 105.60. SL @ 105.20, TP @ 106.90
Buy EurJpy @ 130.80. SL @ 130.20, TP @ 132.80
Buy US$Chf @ 0.9380. SL @ 0.9335, TP @ 0.9500